District Not Recorded
The source did not name an office we could identify. These records remain unassigned rather than guessed.
Walmart Agrees to Pay $50 Million for Illegally Filling Unlawful Opioid PrescriptionsRead the Press Release
The Justice Department, together with the Drug Enforcement Administration (DEA), today announced a $50 million settlement with Walmart Inc. (Walmart) to resolve allegations that Walmart pharmacies illegally filled thousands of invalid prescriptions for opioids and other controlled substances in violation of the Controlled Substances Act (CSA).
“Today’s settlement proves this Department is committed to putting Americans’ flourishing first,” said Associate Attorney General Stanley Woodward. “Congress enacted laws to promote responsibility and accountability for companies who dispense controlled substances to protect Americans. This Department will never shy away from vigorously enforcing pharmacies’ obligations to comply with those protections, ensuring that potential profits never justify aiding our Nation’s opioid epidemic.
The government’s complaint — filed on Dec. 22, 2020, and amended in 2022 in the U.S. District Court for the District of Delaware — alleged that since June 26, 2013, Walmart filled invalid prescriptions through the knowing actions of individuals on its compliance team and the knowing actions of its pharmacists. The United States alleged that members of Walmart’s compliance team knew that certain prescribers were operating as “pill mills” but filled invalid prescriptions written by those prescribers anyway. Members of the compliance team allegedly knew of the prescribers’ egregious conduct because Walmart’s own pharmacists reported the conduct to Walmart’s corporate compliance team, including through thousands of “refusal-to-fill” forms. The compliance team, however, prioritized other goals over CSA compliance. As one director on the compliance team acknowledged in an email, rather than analyzing the refusal-to-fill reports, the compliance team viewed “[d]riving sales and patient awareness,” as “a far better use of our Market Directors and Market manger’s time.”
Walmart pharmacists also allegedly filled prescriptions they knew were invalid. The pharmacists knew these prescriptions were invalid because they were either written by a known “pill mill” prescriber or the prescriptions had obvious red flags such as dangerous combinations of opioids, “cocktails” of opioids and non-opioids, excessively repeated fills of high-dosages of often-abused opioids, or repeated requests for early fills of often-abused controlled substances.
In addition to the monetary payment announced today, Walmart has entered into a memorandum of agreement with DEA to address its future obligations in dispensing controlled substances. This agreement requires Walmart to establish a hotline for both employees and patients to report suspected illegal dispensing of controlled substances, proactively monitor the dispensing patterns of its pharmacies to identify and address potentially illegal dispensing, and establish a process to evaluate prescribers suspected of illegal prescribing.
The United States is represented in this matter by attorneys from the Justice Department’s Civil Division Enforcement & Affirmative Litigation Branch (Trial Attorneys Katherine Ho, Kathleen Brunson, and Meredith Reiter), as well as from the U.S. Attorneys’ Offices for the District of Delaware (Assistant U.S. Attorneys Dylan Steinberg and Elizabeth Vieya), Eastern District of North Carolina (Andrew Kasper), Middle District of Florida (Carolyn Tapie), Eastern District of New York (Elliot Schachner). Former Enforcement & Affirmative Litigation Branch Investigator Amanda Graf provided support for this matter.
Additional information about the Enforcement & Affirmative Litigation Branch and its enforcement efforts can be found at https://www.justice.gov/civil/enforcement-affirmative-litigation-branch.
The claims resolved by the settlement are allegations only; there has been no determination of liability.
Two Nigerian Nationals Extradited from Nigeria to the United States to Face Sextortion Charges in North Carolina and MississippiRead the Press Release
The Justice Department announced today that two Nigerian men have been extradited to the United States from Nigeria to face prosecution in two separate cases for the financially-motivated sextortion of minors that resulted in the death of teenagers in both the Northern District of Mississippi and the Middle District of North Carolina.
“The defendants were arrested in Nigeria as part of a wider operation with the FBI to apprehend sexual extortionists targeting minors in the United States,” said Attorney General Todd Blanche. “The Department of Justice and this Administration have demonstrated an unwavering commitment to protecting America’s children from exploitation and sexual abuse. We have strengthened our international law enforcement partnerships to dismantle the foreign criminal networks behind financially-motivated sextortion and identify and prosecute the perpetrators of child sexual exploitation who are directly linked to dozens of American teen deaths by suicide.”
“Today’s announcement represents two more high-value targets returned to the U.S. by this FBI through Foreign Transfers of Custody,” said FBI Director Kash Patel. “Two Nigerian subjects arrested in Nigeria in 2023 - Adebola Festus Adekunle and Mudasiru Afeez Olawale – have now been returned to the United States to face justice after allegedly participating in financially-motivated sextortion of minors - one resulting in the death of a child. Adekunle is charged with the sexual exploitation of a minor resulting in death, the production of child sexual abuse material, coercion and enticement of a minor, and interstate threats with intent to extort – and Olawale is charged with offenses relating to sexual exploitation of minors, coercion and enticement of minors, distribution of child pornography, and more. They’ve been overseas for three years, but this FBI and our DOJ partners went and got them. Sextortion is a heinous crime targeting innocent people, often young children - and this FBI will stop at nothing to pursue every single individual who harms vulnerable Americans.”
“Several weeks ago we announced an undercover operation dealing with child exploitation, which resulted in 70 arrests,” said U.S. Attorney Scott Leary for the Northern District of Mississippi. “Unfortunately, here we are again in an unrelated child victimization case. This time a child died. The dedication involved in this case cannot be overstated. This tragedy was immediately investigated by the Mississippi Attorney General, the Lowndes County Sheriff’s Office, the Starkville Police Department and the FBI. The evidence led agents to Nigeria. Undeterred, the FBI worked with DOJ’s Office of International Affairs for years, and eventually the defendant was extradited from Nigeria to face justice in the United States. We are thankful for the hard work of Nigeria’s Attorney General and Minister of Justice. Working together, state, federal and international agencies brought us here today.”
“Today’s announcement makes clear that we will not rest in our pursuit of justice for victims of sextortion: Three years after the indictment, and almost five years since the conduct occurred, the defendant will finally appear in a U.S. court to face the charges against him,” said U.S. Attorney Dan Bishop for the Middle District of North Carolina. “We are grateful to all the agents, attorneys, and others whose tenacity and steadfast pursuit of justice contributed to the defendant’s extradition.”
“Financially motivated sextortion inflicts lasting harm on victims and their families,” said Special Agent in Charge Reid Davis of the FBI Charlotte Field Office. “These schemes often begin with threats and manipulation, but their impact extends far deeper — causing emotional and psychological devastation. The extradition of this suspect proves the FBI’s commitment to pursue those who exploit vulnerable individuals, wherever they may be, and ensures they are held accountable for the profound and lasting damage they cause.”
“Sextortion is a serious crime with devastating consequences. Its impact on victims and their families is profound and long‑lasting,” said Special Agent in Charge Robert A. Eikhoff of the FBI Jackson Field Office. “The extradition of Adekunle sends a clear and unmistakable message: crossing state lines does not erase criminal charges, and international borders do not shield individuals from accountability.”
Northern District of Mississippi Charges
Adebola Festus Adekunle, 26, of Lagos, Nigeria, has been extradited to the United States from Nigeria to face prosecution in an indictment for the financially motivated sextortion of a Mississippi minor, which lead to the victim’s death.
Adekunle is charged with the sexual exploitation of a minor resulting in death, coercion and enticement of a minor, and interstate threats with intent to extort. He appeared in federal court in Oxford, Mississippi, for an initial appearance today.
Adekunle was arrested in Nigeria on Aug. 14, 2023, as part of a wider operation with the FBI to apprehend sexual extortionists targeting minors in the United States.
Adekunle faces a maximum penalty of life in prison and mandatory minimum prison sentences on at least two charges. The child exploitation resulting in death charge carries a minimum penalty of 30 years in prison.
The case is being investigated by the FBI Jackson Field Office, the FBI’s Violent Crimes Against Children Section and International Operations Division, and the Lowndes County Sheriff’s Office.
Assistant U.S. Attorney Parker S. King for the Northern District of Mississippi is prosecuting the case.
Middle District of North Carolina Charges
Mudasiru Afeez Olawale, 24, of Nigeria, was extradited from Nigeria to the United States to face charges related to the financially motivated sextortion of one minor, and the financially motivated sextortion and death of another minor victim.
Olawale was charged by indictment in August 2023, with offenses relating to sexual exploitation of minors resulting in death, enticement of minors, interstate threatening communications, and distribution of child pornography. He appeared in federal court in Greensboro, North Carolina, before U.S. Magistrate Judge L. Patrick Auld today.
Olawale was arrested in Nigeria on Aug. 9, 2023, as part of a wider operation with the FBI to apprehend sexual extortionists targeting minors in the United States.
Olawale faces a maximum penalty of life in prison and mandatory minimum prison sentences on at least two charges. The child exploitation resulting in death charge carries a minimum penalty of 30 years in prison.
This case is being investigated by FBI Charlotte’s Greensboro Resident Agency and the Surry County Sheriff’s Office.
Assistant U.S. Attorney Ann Nee for the Middle District of North Carolina is prosecuting the case.
DOJ’s Commitment to Detering Financially Motivated Sextortion
Both cases are a result of Operation Artemis, the FBI’s surge against financially motivated sextortion rings operating from Nigeria. In coordination with domestic and international law for enforcement partners, the FBI deployed agents, analysts, and forensic experts to Nigeria to confront perpetrators of these deadly schemes — directly linked to dozens of American teen deaths by suicide. This same focused, multi-agency approach now drives a broader national effort to dismantle the foreign criminal networks behind sextortion and other predatory schemes. The U.S. Government’s Financially Motivated Sextortion Campaign Team coordinates across agencies, prioritizes victims, and brings every available tool to bear in its fight to bring to justice those who prey on American families.
Adekunle and Olawale were extradited to the United States on Aug. 27, with the assistance of the Justice Department’s Office of International Affairs, the FBI Legal Attaché in Abuja, and FBI agents from both the Jackson and Greensboro Resident Agencies, who traveled to Nigeria and took them into U.S. custody. The support and assistance of Nigerian security authorities was essential to this effort, notably that of Nigeria’s Attorney General of the Federation and Minister of Justice, the Federal Ministry of Justice’s International Criminal Justice Cooperation Department, and the Economic and Financial Crimes Commission.
All charges in the indictment are merely accusations and that defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
If someone you know is being victimized by sextortion, please report to local law enforcement and to the FBI. Learn more about sextortion and find resources for parents, caregivers, and teachers.
Justice Department Files a Statement of Interest in Support of the Primary Aluminum Smelter Project in Inola, OklahomaRead the Press Release
Yesterday, the Justice Department’s Energy and Natural Resources Division (ENRD) filed a statement of interest in a lawsuit brought by the Oklahoma Attorney General, expressing support for the construction of a primary aluminum smelter in Inola, Oklahoma.
ENRD’s filing concerns a case where the Oklahoma Attorney General has sued Century Aluminum Company and Aluminum Oklahoma, alleging environmental violations under state nuisance laws. Plaintiff’s allegations concern the federal Clean Air Act and Clean Water Act, which require environmental permits for the construction and operation of the primary aluminum smelter. Instead of allowing review of these environmental permits in the first instances, the Oklahoma Attorney General seeks to enjoin construction through this premature lawsuit, threatening vital materials critical to our nation’s defense.
“This project advances national and economic security by reducing the country’s reliance on foreign sources of materials critical to the national defense,” said Principal Deputy Assistant Attorney General Adam Gustafson of ENRD. “The Department of Justice is committed to supporting military readiness and opposing litigation that subverts environmental regulatory processes established by Congress.”
President Donald J. Trump’s recently issued executive order Further Strengthening Actions Taken to Adjust Imports of Aluminum into the United States, recognizing that the quantities of aluminum imported into the United States threaten to impair our national security. Domestic production and supply of primary aluminum is imperative in producing an irreplaceable strategic material that is indispensable to our modern defense manufacturing. The Department of War requires primary aluminum for aerospace and air dominance, ground combat vehicles, naval systems, missiles, and space programs. However, the United States now represents less than 1 percent of the global primary aluminum production. As a result, China, the leading global producer of primary aluminum, has sought to leverage its position in primary aluminum production to gain advantage over the United States.
As outlined in ENRD’s statement of interest, the primary aluminum smelter in Inola is the nearest-term solution in combating this national security risk. Once completed, the smelter would be the first constructed in the United States in over 40 years and would rank as the largest primary aluminum production facility in the United States, more than doubling the nation’s output. The Department of Energy recently awarded $500 million in support of this project, recognizing its importance in increasing domestic production of primary aluminum while avoiding an estimated 75 percent of emissions from a traditional smelter. A delay in construction would place the United States at risk of foreign reliance and severely limits our ability to produce the armor, aircraft, and munitions required for national defense.
The Clean Air Act and Clean Water Act provide the appropriate mechanism to address environmental concerns raised by the Oklahoma Attorney General. In its filing, ENRD asked the U.S. District Court for the Northern District of Oklahoma to dismiss the lawsuit, which would otherwise stop construction of the primary aluminum smelter and threaten America’s security by denying access to this critical material necessary for military readiness.
Attorneys with ENRD’s Environmental Defense Section are handling this matter.
International Shipping Companies Sentenced to Pay $1.75 Million Fine for Concealing Discharges of Oily Waste into OceanRead the Press Release
A vessel operating company pleaded guilty today in the Eastern District of Pennsylvania to charges stemming from the discharge of oily waste into the sea. MSC Shipmanagement Limited, one of the largest shipping companies in the world, pleaded guilty to two counts of violating the Act to Prevent Pollution from Ships (APPS) for conduct that occurred on the motor vessel MSC Samira III between June 2024 and January 2025. The vessel’s owner, Hong Kong Spirit Shipping and Trading Limited, also pleaded guilty to two counts of violating APPS. Both companies were sentenced to pay a combined fine of $1.75 million and serve four years of probation. Second Engineer Mikhail Tsurikov previously pleaded guilty to violating APPS and is scheduled to be sentenced on Sept. 10.
“Foreign vessels that enter the ports of the United States and present false documents undermine our efforts to preserve our environment and enforce the law,” said Principal Deputy Assistant Attorney General Adam Gustafson of the Energy and Natural Resources Division (ENRD). “We will vigorously protect the integrity of our port state control system against actors who put profit over compliance with the law.”
“These companies repeatedly cut corners and covered it up, befouling the marine environment,” said U.S. Attorney David Metcalf for the Eastern District of Pennsylvania. “Their violations evidence both a disdain for our country’s laws and a clear case of greed. Shippers who illegally discharge pollutants and doctor their records will be prosecuted and held accountable.”
“Deliberately concealing illegal discharges puts our marine environment at risk and undermines the domestic and international regulatory frameworks designed to keep our waterways safe,” said U.S. Coast Guard Capt. Roberto Rivera, captain of the port and commander of Sector Delaware Bay. “The Coast Guard remains committed to working with our federal partners to hold operators accountable when they violate the laws that protect our oceans.”
“The Coast Guard Investigative Service (CGIS) possesses unique statutory authorities and specialized investigative capabilities purpose-built to address complex criminal conduct in the maritime environment,” said CGIS Assistant Special Agent in Charge Javiel Gonzalez. “When maritime operators engage in criminal deception, falsify official records, and attempt to circumvent federal oversight, CGIS special agents have the technical expertise and jurisdiction to uncover the truth and hold perpetrators accountable. This case underscores our unwavering commitment to maintaining the integrity of our waterways and enforcing the rule of law across the maritime domain.”
Between June and September 2024, senior officers in the engine department of the MSC Samira III instructed lower-level crew members to pump oily bilge water from the vessel’s bilge holding tank to the sewage holding tank using portable pumps and hoses. The crew members then discharged the oily bilge water into the sea using the sewage holding tank’s overboard discharge valve. In doing so, they bypassed the oil water separator, a piece of pollution prevention equipment that is designed to prevent the discharge of oily bilge water containing more than 15 parts per million of oil into the sea.
Such exceptional discharges of oil are required by U.S. and international law to be recorded in a ship’s oil record book, but the officers in charge of these operations failed to do so. In addition to these discharges of oily waste from the vessel’s sewage holding tank, on several occasions between September 2024 and January 2025, senior engine department crew members also tricked the oil water separator by running fresh water instead of oily bilge water through the equipment’s oil content monitor. Doing so allowed them to discharge oily bilge water directly into the sea through the oil water separator. These discharges were also not accurately recorded in the vessel’s oil record book as required by law.
In January 2025, the MSC Samira III made two separate calls in the Port of Philadelphia, where its crew presented the false oil record book to the U.S. Coast Guard.
The U.S. Coast Guard Sector Delaware Bay and the U.S. Coast Guard Investigative Service investigated the case.
Trial Attorney Lauren Steele of ENRD’s Environmental Crimes Section and Assistant U.S. Attorneys Angella Middleton and Anthony Scicchitano for the Eastern District of Pennsylvania prosecuted the case.
Brooklyn Return Preparer Pleads Guilty to Preparing False Tax Returns for ClientsRead the Press Release
A Brooklyn, New York, woman pleaded guilty today to preparing false tax returns for clients.
According to court documents and statements made in court, Edris Cust operated a tax preparation business called Cust Tax Service. From approximately 2019 through 2023, Cust prepared false and fraudulent individual tax returns for multiple clients of Cust Tax Service. These returns included, among other false items, false elections for head-of-household filing status, sales of capital assets resulting in losses and rental receipts, as well as inflated rental expenses. These false items resulted in Cust’s clients reporting to the IRS income tax returns that sought refunds they were not entitled to receive or lower taxes than they should have paid. Cust caused a total loss to the IRS of more than $1.4 million.
Cust pleaded guilty to one count of willfully aiding and assisting in the preparation and presentation of a false tax return. She will be sentenced at a later date and faces a maximum penalty of three years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Colin McDonald of the Justice Department’s National Fraud Enforcement Division and Special Agent in Charge Henry Chavis of IRS Criminal Investigation (IRS-CI) New York made the announcement.
IRS-CI is investigating the case.
Trial Attorneys Richard J. Kelley and Joseph D.G. Castro of the National Fraud Enforcement Division’s Tax Section are prosecuting the case.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division. The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
Alaska Judge Dismisses Challenge to President Trump’s Rescission of Withdrawals Areas of the Outer Continental Shelf from Oil and Gas LeasingRead the Press Release
The U.S. District Court for the District of Alaska earlier this week dismissed the complaint in a case challenging President Trump’s rescission of Biden-era withdrawals of areas of the Outer Continental Shelf (OCS) from oil and gas leasing. The court dismissed the case for lack of standing.
During his final days in office, President Biden withdrew over 600 million acres of the OCS from offshore oil and gas leasing. On his first day in office, President Trump rescinded the withdrawals, allowing those acres of the OCS to be considered in a future offshore oil and gas leasing program. A coalition of environmental groups challenged President Trump’s action, claiming that the rescission of the withdrawals was unlawful and would result in potential imminent harm to the environment from exploration activities. The court rejected the groups’ arguments, finding that there were “no pending applications for [geological and geophysical] exploration activities in any waters outside of the Western and Central [Gulf of America].” The court concluded that the plaintiffs had failed to demonstrate a substantial risk of imminent harm and therefore dismissed the case without prejudice for lack of standing.
“The court properly dismissed plaintiffs’ case, because they failed to show an imminent injury from President Trump’s reopening of the OCS,” said Principal Deputy Assistant Attorney General Adam Gustafson of the Justice Department’s Energy and Natural Resources Division (ENRD). “Where and when energy development will occur depends on a regulatory process that’s still underway and must be allowed to continue. Neither the President’s policy priorities nor industry’s expressions of interest could convert a speculative injury into a concrete one.”
Attorneys with ENRD’s Natural Resources Section handled this matter.
Weaponization Working Group Releases Report on 2023 FBI Richmond Field Office Memo That Targeted Non-Mainstream CatholicsRead the Press Release
Today, the Justice Department’s Weaponization Working Group issued a report detailing how, under the previous Administration, the FBI’s Richmond Field Office associated beliefs held by many Catholics with domestic extremism and investigated two priests as a result. The report focuses on the production and circulation of an internal assessment known as the “Richmond Domain Perspective.” This assessment documented the purported rise of domestic extremism among those who hold conservative beliefs associated with a wide variety of Catholics. It also documented the investigation into two priests and the FBI’s surveillance of one of them.
On January 20, 2025, President Trump signed Executive Order 14147 to eliminate the political weaponization of federal agencies. To many Americans, the Richmond Domain Perspective came to embody the misuse and weaponization of government power.
After reviewing a substantial volume of internal emails, assessments, and investigative records, the Working Group concludes that the Biden FBI engaged in improper and unjustified law enforcement and intelligence activity, including:
- Agents made extensive inquiries into two priests and monitored their travel and communications. The FBI ultimately found no link to criminal activity or violent extremism.
- The FBI relied on biased and unverified materials, including Southern Poverty Law Center publications and foreign intelligence materials, without assessing their credibility. Internal reviews later concluded that the product improperly conflated religious doctrine with violent extremism and ignored First Amendment concerns.
- The FBI’s leadership took minimal corrective action after the Richmond Domain Perspective. Despite headquarters acknowledging the Perspective’s flaws, employees involved received positive performance reviews, and Richmond leadership openly defended their work. Staff continued refining the Perspective even after it was removed from FBI systems.
The FBI’s actions in 2023 were wrong. The Trump Administration, Attorney General Todd Blanche, and FBI Director Kash Patel are committed to addressing these abuses and preventing their recurrence.
- Executive Order 14147 directed the department to identify and remedy prior weaponization within the federal government. Pursuant to that authority, DOJ has removed key FBI personnel responsible for the Richmond Domain Perspective.
- To prepare this report, the Department reviewed over 1,800 pages of internal records. Attorney General Blanche has granted a limited waiver of privileged materials to allow the public to review the underlying documents.
“This Department of Justice will not tolerate a weaponized bureaucracy that chills First Amendment activity,” said Attorney General Todd Blanche. “The individuals who developed the Richmond Domain Perspective are no longer with the Department, and our Working Group’s efforts to investigate weaponization under the previous Administration will continue.”
“Weaponization will never be tolerated at this FBI,” said FBI Director Kash Patel. “Even while those who developed the unacceptable Richmond Catholic memo under the previous administration have been held accountable, releasing information to the public about what occurred under the prior regime is an important part of the process. I want to thank the Weaponization Working Group for their partnership as well as Attorney General Todd Blanche for his leadership addressing these abuses and making sure they never happen again.”
“The weaponization of our Government undermines our Democracy and reduces the People’s trust in our Nation’s institutions that are designed to serve and protect them,” said Associate Attorney General Stanley E. Woodward, Jr. “The Richmond Memo was a clear abuse of power, targeting conservative and religious beliefs disfavored by agents of Government who lacked necessary oversight. No more. Under Attorney General Blanche’s leadership this Department will have zero tolerance for weaponization.”
The Justice Department remains committed to enforcing federal law in a manner consistent with the Constitution and its duty to protect the civil rights of all Americans. Individuals with additional concerns about similar conduct are encouraged to come forward; the Department will evaluate such matters without fear or favor.
Read the report here.
The Department of Justice Files Complaints Against Arizona, New Mexico, Oregon, and Washington Challenging State Laws that Provide In-State Tuition to Illegal AliensRead the Press Release
Today, the Department of Justice filed lawsuits against four states that seek to undermine federal law by placing aliens over citizens in clear defiance of Congress’s commands. The Department filed complaints against Arizona, New Mexico, Oregon, and Washington, challenging state laws that provide in-state tuition and financial assistance for illegal aliens. These laws unconstitutionally discriminate against U.S. citizens who are not afforded the same reduced tuition rates or scholarships, create incentives for illegal immigration, and reward illegal aliens with benefits that U.S. citizens are not eligible for, all in direct conflict with federal law.
“Over 30 years ago, Congress made clear that States cannot put illegal aliens before our Nation’s own citizens,” said Associate Attorney General Stanley E. Woodward, Jr. “By granting illegal aliens in-state tuition, Washington, Oregon, New Mexico, and Arizona are pushing citizens to the side and ignoring federal law. No more. As of today, we have now sued 21 states who we allege were thwarting Congress’s clear prohibition on placing aliens over citizens. Our efforts will not cease until President Trump’s promise is fulfilled: illegal aliens will not receive benefits denied to American citizens.”
“This is a simple matter of federal law: colleges cannot provide benefits to illegal aliens that they do not provide to U.S. citizens,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “This Department of Justice will not tolerate American students being treated like second-class citizens in their own country.”
In the complaints, the United States seeks to enjoin enforcement of Arizona, New Mexico, Oregon, and Washington laws and regulations that require colleges and universities to provide in-state tuition rates for all aliens who maintain in-state residency, regardless of whether those aliens are lawfully present in the United States. Additionally, the complaint seeks to enjoin Arizona, New Mexico, Oregon, and Washington from enforcing their state laws and regulations that afford financial assistance and scholarships to illegal aliens.
The Arizona complaint, in particular, cites a report from Arizona Center for Investigative Reporting, which estimated that more than 3,600 illegal aliens per year could qualify for in-state tuition under Arizona’s law in the years to come. The same report includes data from Arizona public universities and colleges showing that in the Fall 2025 semester, at least 720 illegal aliens had received in-state tuition, including 432 at Arizona State University. Given the roughly $24,000 difference in resident versus out of state tuition rates at Arizona State, our complaint alleges that just last year, illegal aliens received roughly $10.5 million in reduced tuition at ASU alone.
Today’s four lawsuits bring the Department’s total to 21 lawsuits that challenge in-state tuition for illegal aliens. Under the leadership of Acting Attorney General Todd Blanche, the Department’s efforts have already delivered wins for the American people, as five similar lawsuits in Texas, Kentucky, Oklahoma, and Nebraska, and Illinois have resulted favorable orders permanently enjoining and declaring unconstitutional analogous laws that gave reduced tuition to illegal aliens, including an order from the Fifth Circuit. Lawsuits against other states that similarly put illegal aliens ahead of U.S. citizens are pending across the across the country in Minnesota, Virginia, California, New Jersey, Kansas, Massachusetts, Rhode Island, Maryland, Colorado, New York, Connecticut, and Vermont.
Mexican Fentanyl Manufacturer Pleads Guilty to International Drug Trafficking OffensesRead the Press Release
A Mexican national pleaded guilty today to conspiracy to manufacture and distribute fentanyl for importation into the United States, and conspiracy to distribute listed chemicals for the unlawful importation of a controlled substance.
“For years, Ojeda Elenes manufactured and imported enormous quantities of fentanyl often using precursor chemicals obtained from China, which contributed to the opioid epidemic poisoning our communities,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “This case sends a clear message: no matter where they operate, those who manufacture and then traffic deadly drugs into our country will be relentlessly pursued, prosecuted, and brought to justice. To protect the American people, the Criminal Division will continue to use every available tool to dismantle the transnational criminal organizations responsible for this devastation that has occurred in our country.”
“Ojeda Elenes architected the poisoning of Americans by manufacturing fentanyl on behalf of the Sinaloa Cartel,” said Associate Chief of Operations Brian Clark, of Drug Enforcement Administration (DEA) Pacific Southwest Region 5. “He obtained precursor chemicals from China, produced fentanyl in a Mexican lab, and fueled addiction from coast to coast, harming our communities. The DEA and HSTF partners will continue to strike at the heart of drug trafficking networks that threaten the safety and wellbeing of the American people.”
“Fentanyl manufacturers like Ojeda Elenes leave death and devastation in communities across the United States,” said Special Agent in Charge Lucia Cabral-DeArmas of Homeland Security Investigations (HSI) Houston. “This guilty plea sends a clear message to those who manufacture and traffic fentanyl into the United States, HSI and our law enforcement partners will find you and bring you to justice. HSI remains committed to dismantling the transnational criminal organizations responsible for importing this deadly drug into our country.”
According to court documents, Hernan Geovani Ojeda Elenes, 48, of Culiacan, Mexico, manufactured large amounts of fentanyl that he then imported into the United States over a course of several years. The documents allege that from at least 2019 to 2024, Ojeda Elenes, worked with his father and co-defendant, Hernan Domingo Ojeda Lopez, and others, to operate a drug trafficking organization based in Sinaloa, Mexico.
Ojeda Elenes admitted that he procured large amounts of fentanyl precursor chemicals, such as 4-Piperidone and N-Phenylpiperidin-4-amine, by purchasing them from Chinese companies and shipping them to his lab in Mexico. Ojeda Elenes used these chemicals to manufacture fentanyl which he and others subsequently imported into the United States for further distribution and sale. Over the course of the conspiracy, Ojeda Elenes was ultimately responsible for the creation and distribution of several metric tons of fentanyl.
The plea was accepted by District Court Judge Ana C. Reyes. A sentencing date has not yet been set. Ojada Elenes faces a mandatory minimum penalty of 10 years in prison and a maximum penalty of life in prison. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
DEA and HSI are investigating the case. The Justice Department’s Office of International Affairs provided significant assistance to Ojeda Elenes’ January 2026 transfer from Mexico to the United States pursuant to Mexico’s National Security law. The Department of Justice thanks the Government of Mexico for its assistance in securing Ojeda Elenes’ presence in the United States for prosecution.
Trial Attorneys Erik Cervantes and Kirk Handrich of the Criminal Division’s Money Laundering, Narcotics and Forfeiture Section are prosecuting the case.
The Money Laundering, Narcotics and Forfeiture Section’s (MNF) mission is to take the profit out of crime, eliminate drug cartels, and protect the U.S. financial system. MNF pursues criminal prosecutions and criminal and civil asset recovery actions involving: financial facilitators who launder profits for criminals; financial institutions and their officers and employees whose actions threaten the U.S. financial system and financial institutions; international money launderers who support transnational organized crime; and the top command and control of international drug trafficking organizations.
MNF’s Narcotic and Dangerous Drug Unit investigates and prosecutes the top command and control elements of international drug cartels, drug trafficking organizations and related transnational criminal organizations.
This case is part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of U.S. law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States.
Justice Department Finds George Washington University Medical School Discriminates Based on Race in AdmissionsRead the Press Release
The Justice Department’s Civil Rights Division announced today its finding that the George Washington University School of Medicine and Health Services (GW Med) intentionally discriminated based on race in granting and denying admission to its 2024 and 2025 incoming classes. GW Med’s discriminatory conduct violated Title VI of the Civil Rights Act of 1964, which prohibits discrimination on the basis of race, and the U.S. Supreme Court’s 2023 decision in Students for Fair Admissions v. Harvard (SFFA), which banned race discrimination in higher education.
“GW Med’s admissions practices reveal an intent to prioritize racial diversity over merit, which is unlawful and poses legitimate public health consequences for the patients its future doctors will serve,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. “The law is simple — admissions officers can no longer discriminate based on race in the name of diversity.”
The Department’s investigation found that after SFFA, George Washington University issued university-wide admissions guidance stating that no preference or favorable assessment could be given based on racial or ethnic identity “that is self-reported and collected on the check-box data sections” of application forms. Under this direction, GW Med used other sources to discover an applicant’s race. GW Med’s application included essay questions that were designed to elicit information about an applicant’s race or ethnicity. And admissions officers used this information to select applicants for interviews. As a result of GW Med’s admissions practices, black applicants had a significantly higher probability of being selected for an interview, and received disproportionately higher interview scores, than comparable Asian applicants.
With respect to standardized test scores, GW Med’s admitted black students scored significantly lower on the MCAT than white or Asian applicants in 2024 and 2025. GW Med regularly denied admission to white and Asian applicants in favor of lower credentialed black and Hispanic applicants.
Medical schools receive substantial federal financial assistance and are subject to federal non-discrimination laws. The Department will continue to investigate their compliance with Title VI and SFFA’s prohibition on race-conscious admissions. Where a violation has been found, the Department is engaging in settlement negotiations to ensure the school’s admissions practices are brought into compliance. If those efforts fail, the Department will file suit.
Federal Grand Jury Indicts Five for Fraud and Money Laundering Related to Deed Theft and Vehicle Title FraudRead the Press Release
Louisville, KY – A federal grand jury in Louisville returned an indictment on August 19, 2026, charging three men and a woman for their roles in a deed theft conspiracy to steal vacant houses in Louisville. Three of those coconspirators, along with a fourth man, were also charged in a related scheme to obtain fraudulent vehicle titles, to give the appearance of clear title to vehicles that were stolen or abandoned.
U.S. Attorney Kyle G. Bumgarner of the Western District of Kentucky, Special Agent in Charge Olivia Olson of the FBI Louisville Field Office, and Acting Special Agent in Charge Bobby Kuszynski of the Internal Revenue Service Criminal Investigation, Detroit Field Office made the announcement.
According to court documents, Donnie Russell, 58, Lisa Cunningham, 55, Jerry Wagers, 46, all of Louisville, and Steven Jamesray Cates, 47, of Mount Washington in Bullitt County, were charged with wire fraud conspiracy related to a deed theft scheme. Specifically, the indictment alleges that between April 2024 and June 2026, the defendants conspired together to create and file fraudulent deeds and illegally took over houses in Louisville, often stealing property after the true owner died without a will. Donnie Russell was also charged with two counts of aggravated identity theft for using the signatures of deceased homeowners on fraudulent deeds as part of the deed theft scheme. Donnie Russell, Lisa Cunningham, and Steven Jamesray Cates were further charged with money laundering conspiracy for using false identities to conceal their connection to the wire fraud conspiracy.
Donnie Russell, Lisa Cunningham, Steven Jamesray Cates, and Claude Oscar Cunningham III, 36, of Indiana, were charged in an additional mail fraud conspiracy related to vehicle title fraud. Specifically, the indictment alleges that between January 2024 and July 2025, they conspired together to obtain fraudulent Indiana vehicle titles using forged documents to allow the coconspirators and others to keep or sell vehicles they did not rightfully own.
On August 21, 2026, all five defendants had their initial appearances before a U.S. Magistrate Judge of the U.S. District Court for the Western District of Kentucky. If convicted, each defendant could face a maximum of up to 20 years in prison per count on the fraud of money laundering charges, in addition to owing fines and victim restitution. Donnie Russell, if convicted for aggravated identity theft, could be ordered to serve an additional two-year prison sentence per count to run concurrent with any other sentence imposed. A federal district court judge will determine any sentence after considering the sentencing guidelines and other statutory factors.
There is no parole in the federal system.
United States Attorney Kyle Bumgarner stated, “Allegations of defrauding families of their deceased loved one’s property is heart wrenching. I’m very proud of the work leading to this indictment.”
"No one should have to live in fear that their home will be stolen out from under them, especially those grieving from loss,” said FBI Special Agent in Charge Olivia Olson.
This case is being investigated by the FBI and IRS-CI with assistance from USPIS and LMPD.
Assistant U.S. Attorney Corinne E. Keel is prosecuting the case.
The FBI’s Louisville Field Office is seeking information related to this investigation. The indictment alleges that between April 2024 and June 2026, the defendants conspired together to create and file fraudulent deeds and illegally took over houses in Louisville, often stealing property after the true owner died without a will. If you believe you were victimized by these individuals or have information relevant to this investigation, please email the FBI at [email protected] or [email protected].
This case was investigated and prosecuted as part of the National Elder Justice Task Force and the Kentucky Elder Justice Task Force. The Department of Justice’s mission of its Elder Justice Initiative is to support and coordinate the Department’s enforcement and programmatic efforts to combat elder abuse, neglect and financial fraud and scams that target our nation’s older adults. Kentucky’s task force is comprised of investigators, prosecutors, and others at the local, state, and federal level with a common objective of protecting seniors across Kentucky.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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KKR Agrees to Pay Record $250M Penalty for Serial Violations of Federal Premerger Review LawRead the Press Release
The Justice Department filed a proposed settlement today requiring KKR & Co. GP LLC to pay a civil penalty of $250,000,000 to resolve allegations that KKR repeatedly flouted the premerger antitrust review process. The United States’ Complaint alleged KKR evaded antitrust scrutiny for at least 16 separate transactions by failing to comply with the Hart-Scott-Rodino Antitrust Improvements Act of 1976 (HSR Act).
“This historic $250 million civil penalty – more than 20 times any prior HSR penalty obtained by the DOJ – sends a powerful message: the Department is committed to vigorous enforcement of the Act,” said Associate Attorney General Stanley E. Woodward Jr. “The Act’s requirements protect competition by giving the Justice Department an opportunity to investigate potentially unlawful transactions. Companies that disregard their legal obligations will face serious consequences.”
The HSR Act requires parties to a merger, acquisition, or other transaction above a certain size to submit a premerger filing to the Department of Justice’s Antitrust Division and the Federal Trade Commission to facilitate the agencies’ enforcement of Section 7 of the Clayton Act, which prohibits mergers and acquisitions that threaten to harm competition. As a sophisticated private equity firm in the business of buying and selling companies, KKR is familiar with the HSR Act and its requirements. Since 2021, KKR was required to make more than 100 premerger filings under the HSR Act.
The Division’s Complaint alleged that in 2021-2022, KKR failed to make complete and accurate premerger filings for at least 16 transactions. Specifically, KKR violated the HSR Act by altering documents in HSR filings for at least eight of those transactions, failing to make any HSR filing for at least two of those transactions, and systematically omitting required documents in HSR filings for at least 10 of those transactions.
The HSR Act authorizes civil penalties for violations of the Act at more than $50,000 per day per violation. The proposed $250 million penalty is the largest civil penalty ever assessed for violating the HSR Act.
KKR is a global investment firm headquartered in New York, New York. It is one of the world’s largest investment firms with over $744 billion in total assets under management.
Note: See the Proposed Final Judgment here, the Stipulation and Order here, the Explanation of Procedures here, and the Competitive Impact Statement here.
Former Guam Police Officer Sentenced to 15 Months in Federal Prison for Drug TraffickingRead the Press Release
Hagåtña, Guam – SHAWN N. ANDERSON, United States Attorney for the Districts of Guam and the Northern Mariana Islands, announced that defendant Brian Dacanay Awa, age 47, was sentenced on August 25, 2026, in the U.S. District Court of Guam to 15 months imprisonment for two counts of Distribution of Methamphetamine Hydrochloride, in violation of 21 U.S.C. § 841(a)(1). The Court also ordered three years of supervised release and a mandatory $200 special assessment fee.
Working with informants and other investigative leads, federal authorities identified former Guam Police Department (GPD) K9 Officer, Brian Dacanay Awa, as a participant in methamphetamine distribution in Guam. Federal agents and GPD developed a confidential informant who reported prior drug purchases from Awa and agreed to participate in controlled operations. On June 24, 2024, under law enforcement supervision, the informant met Awa at a Dededo store, where Awa provided a cigarette pack containing 3.76 grams of methamphetamine with 100% purity. The transaction was recorded on video. A second controlled buy occurred on July 3, 2024, at another location in Dededo. Inside Awa’s vehicle, he produced a red cigarette pack containing 28.1 grams of methamphetamine with 100% purity.
“Law enforcement is entrusted with keeping our communities safe and drug-free,” stated United States Attorney Anderson. “I applaud the work of federal agents, in addition to GPD-SIS, in bringing Awa to justice. We will continue to promote accountability in law enforcement at every opportunity.”
“Brian Awa abused his position as a law enforcement officer and violated the public trust by trafficking methamphetamine into Guam,” said HSI Honolulu Acting Special Agent in Charge CJ Ammons. “HSI is committed to working with our federal and local partners to stop drug traffickers, protect our communities, and hold accountable those who exploit positions of public trust.”
This investigation was conducted by Homeland Security Investigations–Guam Field Office, with the coordinated assistance of the Drug Enforcement Administration, the United States Postal Inspection Service, and the Guam Police Department Special Investigation Section.
Assistant United States Attorney Benjamin K. Petersburg prosecuted the case in the District of Guam.
Cartel Commanders Charged with International Cocaine and Methamphetamine Trafficking Conspiracy and Firearm OffensesRead the Press Release
A federal grand jury in the District of Columbia returned an indictment today charging Ramon Alvarez Ayala, 44, and Rafael Alvarez Ayala, 42, both Mexican nationals, with conspiracy to distribute cocaine and methamphetamine for importation into the United States and possessing a firearm, including a machinegun, in furtherance of the drug trafficking offense.
According to court documents, brothers Ramon Alvarez Ayala, also known as “R1,” and Rafael Alvarez Ayala, also known as “R2” and “Rafa,” were regional commanders for the Cártel de Jalisco Nueva Generación (CJNG) in Michoacán, Mexico. On Feb. 20, 2025, the U.S. Secretary of State designated the CJNG as a foreign terrorist organization.
“The Department of Justice is committed to the total elimination of drug cartels and transnational criminal organizations,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “By targeting these regional commanders, we take another step towards fulfilling that commitment to eliminate the scourge of cartels like CJNG.”
“Every indictment secured against members of drug trafficking cartels, like CJNG, sends a clear message: DEA is committed and focused on dismantling violent and ruthless terrorist organizations,” said Special Agent in Charge and National Coordination Center Deputy Director Cindy Marx of the Drug Enforcement Agency (DEA) Special Operations Division. “Using all of the resources provided by the Homeland Security Task Force, DEA is pursuing the leaders, facilitators, financiers, and corrupt enablers of narco-terrorist organizations and bringing them to justice in the United States at unprecedented levels.”
The Alvarez Ayala brothers are charged with conspiracy to manufacture and distribute five kilograms or more of cocaine and 500 grams or more of methamphetamine for importation into the United States from 2004 through December 2023, and using, carrying, brandishing, and discharging a firearm, including a machinegun, in relation to the drug trafficking conspiracy. If convicted, the Alvarez Ayalas each face a mandatory minimum penalty of 40 years in prison and a maximum penalty of two consecutive life prison sentences.
The DEA’s Special Operations Division Bilateral Investigations Unit Los Angeles is investigating the case. The Department of Justice thanks the Government of Mexico for securing the arrest of Ramon Alvarez Ayala.
Chief Kaitlin Sahni of the Narcotic and Dangerous Drug Unit (NDDU) and Trial Attorneys Nicole Lockhart, Lernik Begian, and Douglas Meisel of the Criminal Division’s Money Laundering, Narcotics and Forfeiture Section are prosecuting the case.
The Money Laundering, Narcotics and Forfeiture Section’s (MNF) mission is to take the profit out of crime, eliminate drug cartels, and protect the U.S. financial system. MNF pursues criminal prosecutions and criminal and civil asset recovery actions involving: financial facilitators who launder profits for criminals; financial institutions and their officers and employees whose actions threaten the U.S. financial system and financial institutions; international money launderers who support transnational organized crime; and the top command and control of international drug trafficking organizations.
MNF’s Narcotic and Dangerous Drug Unit investigates and prosecutes the top command and control elements of international drug cartels, drug trafficking organizations and related transnational criminal organizations.
This case is part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of U.S. law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Oregon Man Sentenced to Prison for Tax Crimes and Other FraudRead the Press Release
An Oregon man was sentenced to 42 months in prison for tax evasion, employment tax crimes, bank fraud, wire fraud and aggravated identity theft.
According to documents and statements made in court, Joel Matthew Caswell, 32, of Jacksonville, Oregon, had ownership or managing interests in three logging and construction businesses that collectively employed approximately 40 employees. Caswell exercised control over the business and financial affairs of at least two of these businesses and was responsible for withholding Social Security, Medicare and federal income taxes from employees and then paying over those funds to the IRS. From 2018 through 2022, Caswell withheld employment taxes from his employees’ pay but willfully failed to pay over these taxes to the IRS. Caswell attempted to evade these and other taxes by directing customers to write checks to another company or to him personally, moving business funds and lying to IRS collection officers. In 2019, the IRS assessed the Trust Fund Recovery Penalty against Caswell based on these unpaid payroll taxes.
Separately, between 2022 and 2024, Caswell executed multiple fraud schemes that involved submitting fabricated financial records to a bank, a private lender and the Small Business Administration to secure loans. For example, Caswell submitted fraudulent PPP and EIDL applications for all three of the logging and construction businesses. He transferred $70,000 of his fraud proceeds to be used as a deposit for an ultimate frisbee tournament. Caswell also used the personal identifying information of another person to obtain a residential mortgage.
On June 9, Caswell pleaded guilty to three counts of tax evasion, three counts of willful failure to pay over employment taxes, one count of bank fraud, one count of wire fraud and one count of aggravated identity theft. In addition to the term of imprisonment, U.S. District Court Judge Michael J. McShane ordered Caswell to serve five years of supervised release and to pay $1,198,799.83 in restitution to the IRS.
Assistant Attorney General Colin McDonald of the Justice Department’s National Fraud Enforcement Division and U.S. Attorney Scott E. Bradford for the District of Oregon made the announcement.
IRS Criminal Investigation, the FBI and the Interior Department’s Bureau of Land Management investigated the case.
Trial Attorney J. Parker Gochenour of the Criminal Division’s Tax Section and Assistant U.S. Attorney John C. Brassel for the District of Oregon prosecuted the case.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (“Fraud Division”). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
Justice Department to Conduct Election Monitoring in South Carolina Primary ElectionRead the Press Release
Today, the Civil Rights Division is monitoring polling sites in South Carolina for the state’s primary runoff election to ensure transparency, ballot security, and compliance with federal law.
“South Carolina is the next stop in our ongoing effort to ensure election transparency,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. “We appreciate the cooperation of the State of South Carolina, the County of Charleston, and the South Carolina United States Attorney’s Office in helping make this monitoring effort an exemplary one for promoting trust.”
The DOJ, through the Civil Rights Division, enforces federal voting laws which protect the voting rights of all eligible citizens. The DOJ regularly deploys staff to monitor compliance with federal civil rights laws in communities across the country. This special GOP runoff is occurring due to the late Senator Lindsey Graham’s unexpected death on July 11, 2026.
The DOJ is monitoring polls in Charleston County, South Carolina, with four Civil Rights Division attorneys, one South Carolina Assistant U.S. Attorney, and one staff employee with the South Carolina U.S. Attorney’s Office. Thus far the DOJ has deployed over 80 monitors across seven states and over 200 polling locations this primary season. By comparison, during the 2022 midterms the DOJ sent monitors to nine states during the primary season.
This monitoring initiative is aimed at promoting transparency and an open flow of communication between poll observers and election monitors. The Civil Rights Division’s Voting Section enforces various federal statutes that protect the right to vote, including the Voting Rights Act, National Voter Registration Act, Help America Vote Act, Uniformed and Overseas Citizens Absentee Voting Act, the Americans with Disabilities Act, and the Civil Rights Acts.
From now through the general election on Nov. 3, Civil Rights Division personnel will be available to receive questions and complaints from the public related to federal voting rights laws. If you have a question or complaint or would like to request election monitoring in a particular jurisdiction, please contact the Voting Section at [email protected].
Justice Department Files Lawsuit to Stop Ohio Court’s Unlawful Obstruction of Federal Law EnforcementRead the Press Release
Today, the Department of Justice filed a lawsuit against the Franklin County Municipal Court in Columbus, Ohio, along with the Administrative and Presiding Judge and Director of Security, challenging a new rule that blocks federal officials from arresting aliens at or near the courthouse. Specifically, the complaint challenges the new Rule 2.10 that purports to shield aliens from being lawfully detained at or around the courthouse and to impose criminal and civil liability for violations.
Not only is the rule an illegal attempt to regulate the federal government, but, as alleged in the complaint, the rule threatens the safety and effectiveness of federal operations. As is true in all types of law enforcement, conducting an arrest at or near a courthouse often reduces the risk of flight and potential safety risks to the public, law enforcement officers, and subjects themselves due to the enhanced security screenings in place at courthouses. Franklin County Municipal Court’s rule runs counter to common sense and endangers the broader community by attempting to eliminate safe places for law enforcement officers to act.
“Today the Department sued yet another local entity that seeks to thwart the will of Congress by regulating when and where Federal law enforcement does its job, all in the name of protecting criminal aliens who violate our Nation’s laws,” said Associate Attorney General Stanley E. Woodward, Jr. “No more. This Department of Justice will not sit idly by while state and local government seek to undermine federal immigration enforcement.”
“This type of rule obstructs federal law enforcement and facilitates evasion of federal law by dangerous criminal aliens, despite Congress’s direction that federal agents detain and remove them,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “Throughout the country, and including in this courthouse specifically, federal agents have routinely and safely conducted arrests. The Department of Justice is committed to protecting that important federal prerogative.”
Attorney General Blanche has instructed the Department’s Civil Division to identify state and local laws, policies, and practices that facilitate violations of federal laws or impede lawful federal operations. Today’s lawsuit is the latest in a series of lawsuits brought by the Civil Division targeting illegal policies designed to thwart federal law enforcement across the country, including in New York, Virginia, Connecticut, New Jersey, California, Milwaukee, and Philadelphia.
Justice Department Announces Emergency Scheduling of Three Potent Opioid CompoundsRead the Press Release
The Department of Justice today announced the emergency scheduling of three highly potent opioid compounds that pose an imminent hazard to public safety: mitragynine pseudoindoxyl, commonly known as MGPI, and two synthetic compounds known as MGM-15 and MGM-16.
“The Justice Department is acting before these dangerous compounds become a broader threat,” said Attorney General Todd Blanche. “These are potent opioids being manufactured and sold in consumer products, often under labels that obscure their true risks. This action will protect our nation’s children and communities from the dangers of drug addiction and abuse.”
The Drug Enforcement Administration is temporarily placing the three 7-hydroxymitragynine-related substances in schedule I of the Controlled Substances Act. Preclinical evidence indicates that all three are potent mu-opioid receptor agonists and may present risks associated with other mu-opioid agonists, including dependence and respiratory depression. MGPI and MGM-15 are manufactured and marketed in products sold for their opioid effects. MGM-16 has not been confirmed in the consumer market but is a highly potent compound that could emerge as a substitute for related substances.
The emergency scheduling action subjects the manufacture, distribution and possession of these substances to the regulatory controls and administrative, civil, and criminal sanctions applicable to schedule I controlled substances. It allows the federal government to respond to a rapidly developing market for products containing these manufactured opioid compounds.
This action is directed at deliberately manufactured and concentrated opioid products, not traditional botanical kratom. The published scientific literature has not established MGPI as a naturally occurring kratom alkaloid. However, scientific and analytical questions remain about whether MGP1 may be reported at incidental trace levels in some botanical products as a result of processing, storage or analytical conditions.
In light of these unresolved questions, the Department of Justice will exercise enforcement discretion when only incidental trace amounts of MGPI are confirmed in a product otherwise consistent with botanical kratom. This policy does not create a legal exemption and does not change MGPI’s status as a schedule I controlled substance.
This enforcement policy does not apply to MGM-15 or MGM-16, or products containing manufactured, concentrated, fortified or intentionally added MGPI.
The policy does not change the scheduling status of any other substance or limit the authority of the Food and Drug Administration under federal law.
The temporary scheduling order and the Department’s enforcement policy are available here.
Court Clears Way for Forest Management Project in MontanaRead the Press Release
Last week, the U.S. District Court for the District of Montana allowed the Forest Service’s Gold Butterfly Project on the Bitterroot National Forest to proceed. The project is in Ravalli County east of Corvallis in southwest Montana. The project authorizes almost 5,300 acres of commercial harvest, almost 2,100 acres of non-commercial treatments, prescribed burning, and replanting. Nearly 60% of the treatments are in the wildland-urban interface, and more than 90% are in a treatment area designated under the Healthy Forest Restoration Act. Continuing over the course of several years, the project will reduce the threat of catastrophic wildfire affecting nearby communities, provide timber products and related jobs, improve water quality, and restore forest habitats.
In late March, the district court ruled that the Forest Service complied with the National Environmental Policy Act (NEPA), National Forest Management Act (NFMA), and the Healthy Forest Restoration Act. The court identified a limited scope of discrepancies about how the project examined effects to grizzly bears and sent the project decision back to the Forest Service for additional explanation. After the Forest Service provided that explanation in early April, the court said the Forest Service fully explained its analysis and has always considered transient grizzly bears in the project area. The decision is subject to appeal in the Ninth Circuit.
“Responsible forest management produces much-needed timber, makes housing more affordable, prevents wildfires, and saves lives,” said Principal Deputy Assistant Attorney General Adam Gustafson of the Justice Department’s Energy and Natural Resources Division (ENRD). “We are combating efforts to weaponize procedural statutes against the responsible use of America’s vast natural resources. The court in this case properly remanded to the Forest Service in March to allow the agency to correct limited errors, which were quickly addressed. In last week’s decision, the court rightly deferred to the Forest Service’s analysis of environmental effects.”
In March 2025, President Donald J. Trump issued an executive order to expand American timber production. One of the purposes of the executive order is to save American lives and communities through forest management and wildfire risk reduction projects.
Senior Trial Attorney John Tustin of ENRD’s Natural Resources Section handled the case.
Department of Justice Announces Launch of National Fraud Detection Center to Combat Fraud Against Taxpayer-Funded ProgramsRead the Press Release
Today, the U.S. Department of Justice announced the launch of the National Fraud Detection Center (NFDC), a prosecutor-led, multi-agency team designed to investigate the most harmful actors defrauding federal government programs, including illicit actors overseas and those operating fraud schemes across federal programs. The NFDC will bring together law enforcement agencies and analytical capabilities to generate criminal leads to drive more impactful prosecutions and enhance fraud-fighting results for the American people.
“The creation of the NFDC marks a decisive shift in how the federal government detects and investigates complex fraud,” said Assistant Attorney General Colin McDonald of the Justice Department’s National Fraud Enforcement Division. “By breaking down institutional silos, embedding analysts from across the IG community, and leveraging shared technology, the NFDC is actively closing the window of opportunity for bad actors who seek to exploit taxpayer dollars. Today’s announcement sends a clear message: if you defraud federal programs, we have the tools and the law enforcement partners to find you.”
The NFDC solves for a lack of cross-program visibility that has long hindered efforts to deter fraud on taxpayer-funded programs and has enabled some fraud actors to further perpetrate schemes across multiple taxpayer-funded programs without detection. The NFDC closes this gap by bringing partners across federal and state government together to break down silos and work collaboratively in a whole-of-government approach to eliminate fraud.
The NFDC’s success relies directly on the collaborative strength of our partners across federal and state government. The inaugural members of the NFDC include the Federal Bureau of Investigation, Homeland Security Investigations, IRS Criminal Investigation, FinCEN, the Pandemic Response Accountability Committee, the Treasury Department, and the Offices of Inspector General for the Departments of Agriculture, Education, Health and Human Services, Homeland Security, Housing and Urban Development, Interior, Labor, Veterans Affairs, Department of War Office of Inspector General’s Defense Criminal Investigative Service (DCIS), the Treasury Inspector General for Tax Administration, Small Business Administration, and Social Security Administration. The NFDC presents a unified front to identify fraud across agencies and prosecute the most nefarious criminals, domestic and abroad.
The Department also extends its sincere gratitude to our state partners whose efforts further power the NFDC. We proudly acknowledge the leadership and contributions of the Secretaries of State of Alabama, Florida, Georgia, Louisiana, Mississippi, Ohio, and South Carolina; the State Treasurers of Florida, Mississippi, Ohio, and South Carolina; and the South Carolina Department of Social Services. These partnerships strengthen our capacity to detect fraud and protect taxpayer dollars.
This Fraud Division initiative is being led by Acting Assistant Director Amanda Riedel of the Executive Office for U.S. Attorneys and Acting Chief Cody Matthew Herche of the Global Trade & Commerce Enforcement Section.
For more information on the Department’s anti-fraud enforcement efforts, visit www.justice.gov/fraud.
On April 7, the Department of Justice announced the creation of the Fraud Division. The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
AiNET Corp. and Deepak Jain Agree to Pay $1.8M to Resolve Allegations of Submitting False Claims to the U.S. Securities and Exchange Commission for Data Center ServicesRead the Press Release
AiNET Corp. and its former Chief Executive Officer Deepak Jain have agreed to pay $1,800,000 to resolve allegations that they violated the False Claims Act by knowingly submitting false claims for data center services provided under a contract with the U.S. Securities and Exchange Commission (SEC). AiNET operates a data center in Beltsville, Maryland.
“Those who do business with the government must do so fairly and honestly,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “We will continue to pursue contractors that knowingly fail to provide required services to federal agencies.”
“Protecting taxpayer dollars is an OIG priority,” said SEC Inspector General Kevin Muhlendorf. “The SEC OIG’s dedicated team of investigators and auditors works tirelessly to hold contractors accountable, and we appreciate our continued partnership with the Department of Justice in that shared endeavor.”
The settlement resolves allegations that AiNET and Deepak Jain fraudulently induced the SEC to enter the contract by falsely certifying that the AiNET data center met at least Tier III standards as defined by the Telecommunications Industry Association (TIA) Standards for Data Centers, TIA 942, and as required by the SEC contract. The United States alleged that the AiNET data center failed to comply with Tier III standards and that AiNet and Jain falsely certified to the SEC that experts from an entity called UpTime Council had inspected the data center and determined it was Tier IV, as defined by TIA 942. The United States alleged that these certifications were false because UpTime Council was not an operating company and never inspected the AiNET data center.
This year the Administration launched the Task Force to Eliminate Fraud and the National Fraud Enforcement Division to enhance the Administration’s war on fraud, waste, and abuse in federal programs. When unscrupulous actors exploit these programs for their own financial gain, they defraud the government, harm the people these programs are designed to aid and protect, and undermine American businesses that play by the rules. The Civil Division’s FCA enforcement plays a critical role in combatting such fraudulent schemes, recovering billions of dollars for the American taxpayers, and holding wrongdoers accountable. FCA matters will continue to be on the forefront of the battle against fraud, and the Civil Division’s FCA work will support and advance the mission of the Task Force to Eliminate Fraud and the National Fraud Enforcement Division.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the SEC, Office of the Inspector General. Senior Trial Attorney Greg Pearson of the Fraud Section handled the matter.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Justice Department Secures $400M Settlement with TikTok and ByteDance to Resolve Children’s Privacy LitigationRead the Press Release
Today, the Department of Justice announced a $400 million settlement with TikTok, ByteDance, and affiliated entities (TikTok) resolving litigation concerning compliance with the Children’s Online Privacy Protection Act and its implementing regulations (COPPA). Under the settlement, TikTok will pay $300 million immediately and an additional $100 million upon entry of an order vacating a prior consent decree entered against TikTok’s predecessor, Musical.ly. The settlement represents one of the largest recoveries ever obtained in a COPPA case.
“This settlement is a major victory for American children and parents,” said Associate Attorney General Stanley E. Woodward Jr. “The Department's priority is ensuring that children are protected online and that companies entrusted with their personal information meet their legal obligations. This resolution secures a substantial recovery while reinforcing the protections that families expect and deserve.”
“Companies that collect children’s personal information must comply with the law,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “This resolution secures a significant monetary recovery and reflects the Department’s commitment to ensuring children receive the full protections that Congress mandated.”
Since the Justice Department filed its complaint in 2024, TikTok has undergone significant changes to its ownership, management, compliance functions, and privacy practices. The company has implemented extensive measures designed to strengthen safeguards for younger users, improve age-related controls, and enhance parental oversight. Those developments have materially advanced the public interests underlying the Department’s litigation and have strengthened protections for millions of American families.
The resolution reflects the department's commitment to achieving practical results that protect the public. By securing a significant recovery while recognizing the substantial compliance improvements already implemented, the settlement ensures that American families continue to benefit from stronger protections without the delay and uncertainty of protracted litigation.
The Justice Department’s lawsuit was filed in the U.S. District Court for the Central District of California. The matter was handled by the Civil Division’s Enforcement and Affirmative Litigation Branch on referral from the Federal Trade Commission.
The claims resolved by the United States in the settlements are allegations only, and there has been no determination of liability.
Note: This release has been updated from a previous version.
Justice Department Office of Legal Counsel Concludes the Constitution Requires Presidential Control of the Foreign Service Grievance BoardRead the Press Release
Today, the Department of Justice released an opinion for the Department of State’s Legal Advisor finding that the Foreign Service Grievance Board (FSGB)’s unchecked power over the U.S. Foreign Service violates the Constitution.
“Accountability for American foreign policy flows from the people to the foreign service through the President, our elected official charged by the Constitution to conduct foreign affairs, and his Secretary of State,” said Assistant Attorney General T. Elliot Gaiser. “Our advice today restores that essential through-line.”
Since 1980, the Foreign Service Act has empowered the FSGB to reverse disciplinary measures and reinstate members of the Foreign Service who had been terminated by the Secretary of State. A 2013 decision of the Board, for example, reinstated a Foreign Service member who had been terminated for downloading and viewing pornography on his government-issued computer. Under the statute, the President and the Secretary of State were powerless to overrule the Board’s decision.
The opinion published today by the Office of Legal Counsel and signed by Assistant Attorney General T. Elliot Gaiser concludes that the statutory provisions that gave the FSGB final decision-making authority violate Article II and cannot be enforced. The political accountability written into our Constitution requires that the President maintain control over the Executive Branch. This control is nowhere more critical than in the realm of foreign policy. To restore constitutional order in the Foreign Service, final decision-making power must be vested in a presidentially accountable Executive Branch officer — here, the Secretary of State.
Going forward, DOJ has advised that the FSGB may continue to hear grievances as before, but the Secretary will retain final decision-making authority, as the Constitution requires.
Federal Court Protects National Energy Security and Rejects Dangerous State Efforts to Obstruct Sable Offshore Corporation’s Operation of the Santa Ynez PipelineRead the Press Release
In a significant victory for President Trump’s efforts to unleash American energy, the U.S. District Court for the Central District of California affirmed the federal government’s authority to protect national energy security under the Defense Production Act. The ruling ensures that domestically produced oil can reliably reach California refineries and safeguards the continued operation of critical pipeline infrastructure on the California coast.
“Energy security is national security,” said Associate Attorney General Stanley E. Woodward Jr. “And the Department of Justice will continue unleashing American energy to support an affordable and reliable supply of energy necessary for our national and economic security.”
“This ruling upholds decisive federal action to protect national security by restarting the flow of 50,000 barrels of oil per day when the stability of America’s energy supply is threatened,” said Principal Deputy Assistant Attorney General Adam Gustafson of the Justice Department’s Energy and Natural Resources Division. “The Department of Justice, together with our parters at the Energy, Interior, and Transportation Departments will not allow California or environmental groups to undercut American energy.”
In a comprehensive decision, the U.S. District Court for the Central District of California rejected the State of California’s radical attempt to shut down the Santa Ynez Pipeline and dismissed efforts by California and environmental groups to impose state‑level barriers designed to obstruct federally mandated operations during a declared national energy emergency. The court’s decision ensures that sound federal energy policy — not California’s disruptive anti-energy measures — governs operation of this critical infrastructure.
This ruling comes at a time when state and local energy policies on the West Coast continue to destabilize regional supply and threaten broader national energy resilience. The Santa Ynez Pipeline transports more than one million barrels of domestically produced crude oil per month from offshore wells into California — providing a reliable domestic supply to offset foreign imports and reinforcing the Nation’s energy independence. Its continued operation is also essential to maintaining stable fuel supplies for more than 32 U.S. military installations across the West Coast, supporting operational readiness and ensuring these facilities can meet critical national defense requirements.
The court confirmed that a Defense Production Act order — issued by Secretary of Energy Chris Wright under delegated authority from the President — lawfully preempts state actions aimed at blocking or delaying Sable Offshore Corporation (Sable)’s operations of the Santa Ynez Pipeline. The court held that the only agency that should oversee the safety of two segments of the pipeline subject to a federal consent decree is the Department of Transportation’s Pipeline and Hazardous Materials Safety Administration, and California’s efforts to shut down the pipeline amounted to an attempt to override federal authority and undercut essential national energy priorities.
Key components of the court’s rulings include:
- Denial of California’s motion for a preliminary injunction seeking to suspend the Energy Secretary Wright’s Defense Production Act order requiring operation of the pipeline. The court held that California failed to demonstrate any likelihood of success on the merits of its challenge because the Order is lawful and constitutional.
- Recognition of the Defense Production Act order’s preemptive force, declaring that federal law bars California’s Department of Parks and Recreation from pursuing legal actions — such as trespass claims — that would impede pipeline operations mandated by federal authority.
- Clarification that state courts may not enforce injunctions that conflict with federal directives, as the court addressed efforts by environmental groups to sustain a state‑court injunction.
- Modification of the existing federal consent decree to consolidate oversight of pipeline safety and compliance under the Department of Transportation’s Pipeline and Hazardous Materials Safety Administration, replacing California’s Office of the State Fire Marshal to prevent further state‑level interference with federally directed operations.
The decision makes clear that attempts by California and environmental groups to impose new obstacles to critical energy infrastructure — despite clear federal findings of urgent national security needs — cannot override federal law.
The Department of Justice remains committed to enforcing federal law, defending national energy security, and ensuring that vital infrastructure remains free of unlawful state‑imposed barriers. This case was litigated by the Energy and Natural Resources Division.
Note: This release has been updated from a previous version
Court Orders New Jersey Tax Return Preparer to Shut Down Tax Preparation BusinessRead the Press Release
The United States District Court for the District of New Jersey issued a permanent injunction against Newark-area tax return preparer Roxanna Cedeno, doing business as RC Travel Agency. The injunction bars Cedeno and RC Travel Agency from preparing tax returns, working for or holding any ownership stake in any tax preparation business, assisting others in preparing tax returns, and transferring or assigning customer lists to any other person or entity.
According to the complaint, Cedeno and RC Travel Agency prepared tax returns that understated their clients’ federal income tax liabilities and overstated the refunds to which their clients were entitled by claiming, among other things:
- False Schedule C expenses and income losses;
- Fraudulent education credits;
- Improper child and dependent credits; and
- Improper filing statuses.
The court found that Cedeno “repeatedly and continually engaged in conduct” that was subject to penalty under statute and which “substantially interferes with the proper enforcement and administration of the internal revenue laws.”
As a result of the court’s order, Cedeno must send a copy of the injunction to all customers for whom she prepared or assisted in preparing federal tax returns and to all employees, contractors, and vendors of her business.
Deputy Assistant Attorney General Joshua Wu of the Civil Division’s Tax Litigation Branch made the announcement. Tax Litigation Branch attorneys Gökçe Yürekli and Adam S. Domitz handled this matter.
Taxpayers seeking a return preparer should remain vigilant against unscrupulous tax preparers. The IRS has information on its website for choosing a tax return preparer and has launched a free directory of federal tax preparers. The IRS also offers 10 tips to avoid tax season fraud and ways to safeguard their personal information.
In the past decade, the Department of Justice has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Civil Division, Tax Litigation Branch, with details.
Bossier Police Responding to Concerned Neighbors’ Complaints Recover Firearms in Drug Trafficking Operation; Two Men Sentenced to Federal PrisonRead the Press Release
SHREVEPORT - On August 20, 2026, United States District Judge S. Maurice Hicks sentenced Melvin Lee Johnson, 23, of Bossier City, to over nine years in federal prison, plus three years supervised release, for Possession of Firearms by a Convicted Felon and Possession of Firearms During a Drug Trafficking Offense. Johnson previously pled guilty on April 28, 2026.
The same day, Judge Hicks also sentenced Johnson’s associate, Jarrod De'Angelo Stith, 23, of Shreveport, to over five years in federal prison for Possession with Intent to Distribute Marijuana and Possession of Firearms During a Drug Trafficking Offense related to the same incident. Stith had also pled guilty.
“Members of our community did exactly what they should to protect their families and neighborhood—they stayed alert and worked together to report suspicious activity,” said United States Attorney Zachary A. Keller. “Their sense of responsibility and willingness to get involved helped law enforcement disrupt a dangerous situation and recover illegal drugs and firearms before someone was hurt or killed.”
According to court documents, on May 21, 2025, Bossier City Police Department (BCPD) officers went to a Bossier residence after neighbors complained about loud music, drug use, and disorderly conduct. When officers got there, they saw several people gathered near a black Nissan SUV. Johnson was sitting on the hood of the SUV near a backpack. Stith then threw the backpack over a fence. Officers recovered the backpack and found twenty-seven small baggies of marijuana that amounted to about 400 grams. They also found a scale, empty baggies used for packaging drugs, and a loaded Micro Draco pistol. Officers also recovered another stolen firearm during a pat down of Stith.
U.S. Attorney Zachary A. Keller for the Western District of Louisiana made the announcement.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and BCPD investigated the case. The case was prosecuted by Assistant U.S. Attorneys J. Aaron Crawford and Allison C. Foster with the assistance of Legal Assistant Amanda Morgan.
This case was part of Project Safe Neighborhoods (PSN), the Department of Justice’s nationwide initiative that brings federal, state, local, and tribal law enforcement, prosecutors, and other public safety partners together to coordinate efforts to combat violent crime and make communities safe. Coordinated by U.S. Attorneys’ offices in each of the 94 federal districts, PSN is tailored to particular communities to strategically address specific violent crime and public safety challenges. PSN emphasizes three core principles: rapid federal response to violent crime and criminal offenders; strong, strategic partnerships among law enforcement at all levels; and accountability and deterrence through the prosecution of the most serious, readily provable offenses and other strategies. These efforts complement and strengthen President Trump’s Homeland Security Task Forces, ensuring a comprehensive federal response to the most pressing public safety issues facing communities.
You may find a copy of this press release (and any updates) at www.justice.gov/usao-wdla.
Related court documents and information may be found at www.lawd.uscourts.gov or https://www.lawd.uscourts.gov/cmecf-pacer under Case Number 5:25-cr-00248-01.
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Cara Alexander: (337) 262-6704Pennsylvania Man Indicted for Conspiring to Defraud the United StatesRead the Press Release
A federal grand jury in the Eastern District of Pennsylvania returned a superseding indictment today charging Jimmy Fabian of Philadelphia, Pennsylvania, with engaging in a scheme to underpay over $7 million in employment taxes owed by his business and filing false tax returns for the business. This indictment supersedes an earlier, August 2025 indictment that charged Fabian and two co-conspirators.
According to court documents, Fabian was the president, owner and operator of Celebes Staffing Services Inc. (Celebes), a labor-leasing company based in Philadelphia, Pennsylvania, which provided temporary workers to client businesses for a fee, including Companies A, B, and C. From approximately in or about September 2020 through at least in or about June 2024, Fabian and two co-conspirators engaged in a scheme to fraudulently underpay employment taxes by underreporting the number of Celebes’ employees, many of whom were not authorized to work in the United States, and the wages and compensation paid to them. Fabian also caused the preparation and filing of false corporate income tax returns for Celebes, in which he substantially underreported Celebes’ gross receipts and disguised his 100 percent ownership of Celebes by listing a co-conspirator as 50 percent owner.
Fabian is charged with one count of conspiring to defraud the United States, thirteen counts of willfully failing to collect, account for, and pay over employment taxes, and four counts of aiding and assisting in the preparation and presentation of false tax returns. If convicted, Fabian faces a maximum penalty of five years in prison for the conspiracy charge and for each count of willfully failing to collect, account for, and pay over employment taxes, and three years in prison for each count of aiding and assisting in preparation and presentation of false tax returns.
IRS Criminal Investigation and Homeland Security Investigations are investigating the case.
Assistant Deputy Chief Thomas F. Koelbl and Trial Attorney Joseph D. G. Castro of the Criminal Division’s Tax Section are prosecuting the case.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Jury Convicts Erosion Control Company, Executive, and Employee for Roles in $100M Price-Fixing ConspiracyRead the Press Release
A federal jury in Oklahoma City convicted Sioux Erosion Control Inc. (Sioux), its part-owner and vice president, and another employee for participating in a five-year price-fixing conspiracy targeting over $100 million in publicly funded transportation construction contracts across Oklahoma.
According to court documents and evidence presented at trial, Sioux, its part-owner and Vice President BG Dale Biscoe, and its employee Randall David Shelton conspired with their competitors in the erosion control industry to raise and maintain prices for products and services between September 2017 and April 2023. Erosion control products and services, including sod, are used to control runoff of soil or rock on highway construction and repair projects. In addition to conspiring to raise prices for sod, the defendants also agreed to allocate contracts across different areas of Oklahoma and rigged bids for projects by submitting intentionally high-priced bids or refusing to bid.
“Americans have a right to expect that taxpayer-funded contracts are awarded through fair and honest competition, not secret agreements among competitors,” said Associate Attorney General Stanley E. Woodward Jr. “The prosecution of these criminals demonstrates the Justice Department’s unwavering commitment to protecting public funds, safeguarding the integrity of government procurement, and holding accountable those who put personal profit above the law.”
“For years, the defendants stole from taxpayers by rigging bids and raising prices on highway projects across Oklahoma,” said Acting Deputy Assistant Attorney General Daniel W. Glad of the Justice Department’s Antitrust Division. “Yesterday, an Oklahoma jury held the defendants accountable, finding them guilty beyond a reasonable doubt. This verdict underscores that, if you collude with your competitors to corrupt public procurement, the Antitrust Division and its Procurement Collusion Strike Force partners will work tirelessly to bring you to justice.”
“This long-running scheme to fix prices and rig bids on highway construction projects drove up costs for American taxpayers while the defendants lined their pockets,” said Special Agent in Charge Doug Goodwater of the FBI Oklahoma City Field Office. “The FBI and our partners will aggressively pursue corporations that violate antitrust laws at the expense of the American public. This verdict highlights our commitment to combatting illegal collusion through the justice system.”
“Violations of the nation’s antitrust laws will be taken seriously, and those who attempt to circumvent federal bidding and contract regulations will be held accountable,” said Special Agent in Charge Joseph Harris of the Department of Transportation Office of Inspector General’s Southern Region. “Working alongside our partners at the FBI and the Justice Department’s Antitrust Division, we will continue to pursue those who cheat the system and ensure that public funds are used as intended — to support a safe, reliable, and cost‑effective transportation system that Americans depend on every day.”
During the investigation, a total of six individuals and one company — including Biscoe, Shelton, and Sioux — were charged for their participation in the scheme. Four other individuals — Stanley Mark Smith, Roy Henry Henrich, Ryan Ashley Sullivan, and James Travis Feazel — previously pleaded guilty for their roles in the charged conspiracy and are awaiting sentencing.
Biscoe, Shelton, and Sioux were convicted by the federal jury of participating in a price-fixing conspiracy. The maximum penalty for individuals is 10 years in prison and a $1 million criminal fine. The maximum penalty for corporations is a $100 million criminal fine. The fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime if either amount is greater than the statutory maximum fine.
The U.S. Department of Transportation Office of Inspector General and FBI Oklahoma City Field Office investigated the case.
Trial Attorneys Marc Hedrich and Matthew Grisier of the Antitrust Division’s Washington Criminal Section and Senior Litigation Counsel Gary Bell are prosecuting the case.
The Justice Department’s Procurement Collusion Strike Force (PCSF) is a joint law enforcement effort to combat antitrust crimes and related fraudulent schemes that impact government procurement, grant and program funding at all levels of government — federal, state and local. To learn more about the PCSF, or to report information on bid rigging, price fixing, market allocation and other anticompetitive conduct related to government spending, go to www.justice.gov/procurement-collusion-strike-force.
Whistleblowers who voluntarily report original information about antitrust and related offenses that result in criminal fines or other recoveries of at least $1 million may be eligible to receive a whistleblower reward. Whistleblower awards can range from 15 to 30 percent of the money collected. For more information on the Antitrust Whistleblower Rewards Program, including a link to submit reports, visit www.justice.gov/atr/whistleblower-rewards.
Statement of the Department of Justice Antitrust Division on the Closing of Its Investigation of the Merger of Seismic Software Inc. and Highspot Inc.Read the Press Release
Associate Attorney General Stanley E. Woodward Jr. of the U.S. Department of Justice issued the following statement today in connection with the closing of the Antitrust Division’s investigation into the proposed merger between Seismic Software, Inc. (Seismic) and Highspot Inc. (Highspot):
“After a targeted review of key competitive questions, the Antitrust Division made the decision to close its investigation, reducing the Second Request compliance burden on the merging companies. The resolution of this matter using a targeted approach is an excellent example of the Antitrust Division efficiently reviewing a proposed merger with an expedited focus on key dispositive issues.”
On Feb. 12, Seismic and Highspot announced that they had signed a definitive agreement to merge. Both firms offer sales enablement software platforms to businesses. The Antitrust Division opened an investigation and issued Second Requests to the merging companies.
“Merging companies often claim that AI is a disruptive force and rationale for consolidation among close competitors in industries subject to historically high barriers to entry,” said Deputy Assistant Attorney General G. Charles Beller of the Justice Department's Antitrust Division. “The Division critically evaluates such claims based on the facts in each individual case, including reviewing whether ordinary-course documents and data from the merging companies and third parties substantiate such claims.”
Based on the particular facts surrounding Seismic and Highspot’s proposed merger, the Division and the merging parties entered into a timing agreement that prioritized the production of evidence the Division considered to be relevant to AI entry and repositioning. The Division used this and other material to evaluate its concerns and the merging companies’ arguments.
Over the course of the following three months, the Division conducted a thorough investigation, reviewing documents, analyzing data, and interviewing industry participants. In particular, the Division analyzed whether the proposed merger may harm competition for sales enablement software platforms. Although the merging companies and other legacy providers have competed in this space without meaningful entry from larger, more diversified tech companies operating in adjacent markets, the Division considered whether entry from newer, AI-native firms may be timely, likely, and sufficient to make any risk of harm to competition unlikely. Multiple types of evidence indicated that AI-native firms are growing quickly to win sales enablement software platform customers and are increasing competitive pressure on legacy providers.
Following this review, the Division decided that its investigation could be closed.
Repeat Felon Sentenced to Two Years in Prison for Firearm OffenseRead the Press Release
Gainesville, Florida – Robert Anthony Yancy, Jr., 25, of Tampa, Florida, was sentenced to two years in federal prison for possessing a firearm as a convicted felon. The sentence was announced by John P. Heekin, United States Attorney for the Northern District of Florida.
U.S. Attorney Heekin said: “The safety of our communities is not negotiable, and we will not yield control of our streets to serial felons, like this defendant, who have amply demonstrated their outright refusal to follow the law. My office will aggressively prosecute these cases to deliver the safe, crime-free streets our citizens deserve.”
Court documents reflect that on the evening of January 2, 2026, law enforcement conducted a traffic stop on the defendant’s vehicle. During the stop, law enforcement detected the odor of marijuana and saw evidence of marijuana inside, which led to a search of the vehicle. In addition to locating marijuana and a scale with residue, law enforcement found a handgun in the vehicle. The defendant cannot possess a handgun because he is a six-time convicted felon.
Upon his release, Yancy will be subject to three years’ supervised release.
The case involved a joint investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Alachua County Sheriff’s Office. Assistant United States Attorney Adam Hapner prosecuted the case.
Project Safe Neighborhoods (PSN) is the Department of Justice’s nationwide initiative that brings federal, state, local, and tribal law enforcement, prosecutors, and other public safety partners together to coordinate efforts to combat violent crime and make communities safe. Coordinated by U.S. Attorneys’ offices in each of the 94 federal districts, PSN is tailored to particular communities to strategically address specific violent crime and public safety challenges. As a key component of Operation Take Back America, PSN serves a central role in the Department’s commitment to make our country safe. PSN emphasizes three core principles: rapid federal response to violent crime and criminal offenders; strong, strategic partnerships among law enforcement at all levels; and accountability and deterrence through the prosecution of the most serious, readily provable offenses and other strategies. These efforts complement and strengthen President Trump’s Homeland Security Task Forces, ensuring a comprehensive federal response to the most pressing public safety issues facing communities.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access available public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit https://www.justice.gov/usao-ndfl.
Kentucky Man Pleads Guilty to Falsifying Clean Air Act ReportsRead the Press Release
The owner of a company that produces charcoal pleaded guilty to fabricating data relating to the air emissions from his charcoal production facility.
According to court documents, Nicholas Upchurch, 46, owned Rebel Smoke, a company in Burkesville, Kentucky, that used kilns to convert wood to charcoal. The air emissions from the facility were to be routed through emissions control facilities to reduce the air pollution released into the environment. However, as part of his plea agreement, Upchurch admitted to falsifying data submitted to the Commonwealth of Kentucky as part of compliance with the company’s air permit.
Upchurch’s sentencing date has not been scheduled. The falsification count has a maximum penalty of two years in prison and a $250,000 fine. A federal district court judge will determine whether to accept the plea agreement after considering the U.S. Sentencing Guidelines and other statutory factors.
Principal Deputy Assistant Attorney General Adam Gustafson of the Justice Department’s Energy and Natural Resources Division (ENRD) and the U.S. Environmental Protection Agency (EPA)’s Assistant Administrator Jeffrey A. Hall of the Office of Enforcement and Compliance Assurance (OECA) made the announcement.
EPA’s Criminal Investigation Division conducted the investigation leading to the charges in this case, with assistance from the Kentucky Energy and Environment Cabinet, Department for Environmental Protection.
Senior Trial Attorney Adam Cullman of ENRD is prosecuting the case. Additional assistance was provided by former Senior Trial Attorney Matthew Morris of ENRD.
Justice Department to Conduct Election Monitoring in Florida and Wyoming Primary ElectionsRead the Press Release
Today, the Civil Rights Division is monitoring polling sites in Florida and Wyoming for the states’ primary elections to ensure transparency, ballot security, and compliance with federal law.
“Election monitoring is an ongoing priority for this office,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. “Nondiscriminatory monitoring ensures all elections remain free, fair, and accessible to all.”
The DOJ, through the Civil Rights Division, enforces federal voting laws which protect the voting rights of all eligible citizens. The DOJ regularly deploys staff to monitor compliance with federal civil rights laws in communities across the country, as it previously did in Florida and Wyoming in 2022.
The DOJ is monitoring polls in Miami-Dade County, Florida, with approximately four Civil Rights Division attorneys and in Laramie County, Wyoming, with two Civil Rights Division attorneys. Thus far the DOJ has deployed over 75 monitors across five states and over 200 polling locations this primary season. By comparison, during the 2022 midterms the DOJ sent monitors to nine states.
This monitoring initiative is aimed at promoting transparency and an open flow of communication between poll observers and election monitors. The Civil Rights Division’s Voting Section enforces various federal statutes that protect the right to vote, including the Voting Rights Act, National Voter Registration Act, Help America Vote Act, Uniformed and Overseas Citizens Absentee Voting Act, the Americans with Disabilities Act, and the Civil Rights Acts.
From now through the general election on Nov. 3, Civil Rights Division personnel will be available to receive questions and complaints from the public related to federal voting rights laws. If you have a question or complaint or would like to request election monitoring in a particular jurisdiction, please contact the Voting Section at [email protected].
Justice Department Investigates William & Mary’s Scholarships & Student Benefits for Unlawful Race-Based CriteriaRead the Press Release
The Justice Department’s Civil Rights Division announced today that it is opening a compliance review into the College of William & Mary (W&M) to determine whether the school’s scholarships and student benefits include racial criteria that violate Title VI of the Civil Rights Act of 1964, which prohibits discrimination on the basis of race, color, and national origin.
“Awarding scholarships or offering coveted opportunities to students based on the color of their skin is illegal and offends the guarantees of our color-blind Constitution,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. “We will find out if scholarships or other student benefits at William & Mary favor applicants of certain races. The Department will not turn a blind eye to race-based preferences, however they are packaged or portrayed by universities.”
The “W&M Scholars” program for first-year undergraduate students includes a scholarship “covering at least the full cost of in-state tuition and fees.” Applicants with an “interest in diverse people and perspectives” receive “top consideration.”
W&M School of Education (W&M SOE) offers the need-based Martha L. Muguira Fellowship to graduate students and gives a “preference” to Hispanic or Latino women. And the W&M SOE doctoral-level Holmes Scholars program gives “future education leaders of color” mentorship, access to job fairs and position announcements, as well as national-level professional development benefits such as policy/advocacy training and opportunities to present their research.
W&M Law School (W&M Law) offers the Lemon Legal Scholars Program (LLSP), a “multifaceted financial and mentorship opportunity” for graduates of Historically Black Colleges and Universities (HBCUs) who are admitted to W&M Law’s J.D. program. Through LLSP, W&M Law offers up to five full-ride scholarships — covering tuition and fees — which appear exclusively earmarked for HBCU graduates. Recipients also receive networking opportunities, one-on-one academic advising regarding course load and bar exam preparation, and access to special events with W&M Law faculty, senior administrators, and alumni.
W&M Law also advertises the “Reaching Back Scholarship” — a need-based scholarship that has a “preference” for HBCU graduates or those “who contribute to the diversity” of W&M Law.
The Civil Rights Division has not reached any conclusions about the subject matter of the investigation.
Note: Read the Department’s Notice Letter here.
Attorney General Blanche Launches New Process to Restore Federal Firearm RightsRead the Press Release
As one of his first actions as Attorney General, Todd Blanche today finalized a federal regulation and launched a new process allowing eligible individuals who are prohibited from possessing firearms to apply for restoration of their federal firearm rights.
“The Second Amendment is not a second-class right, and the federal government should not permanently deprive Americans of a constitutional right without regard to whether they pose a danger to public safety,” said Attorney General Todd Blanche. “This rule establishes a rigorous, commonsense process that protects the public while giving deserving Americans a real path to restoration.”
“President Trump keeps making history - this time by his unprecedented restoration of firearms rights to millions of Americans” said U.S. Pardon Attorney Edward Martin. “Over the past months, we have worked at the direction of Attorney General Todd Blanche to build a program to give a pathway for restoration for the 30 million Americans who have lost their Second Amendment rights. We are proud to serve and defend our great Second Amendment.”
For more than three decades, the statutory process Congress created under 18 U.S.C. § 925(c) was effectively unavailable to most individuals seeking relief from federal firearms disabilities. The final rule restores a functioning process for the individualized consideration Congress authorized and advances President Trump’s directive to protect the Second Amendment rights of law-abiding Americans.
Under the final rule, restoration of firearm rights is neither automatic nor guaranteed. Each applicant must establish to the Attorney General’s satisfaction that the circumstances giving rise to the prohibition, together with the applicant’s record, reputation, and subsequent conduct, demonstrate that the applicant is not likely to act in a manner dangerous to public safety and that granting relief would not be contrary to the public interest. The Department will consider the facts and circumstances of each application, while maintaining strong presumptions against relief for individuals whose crimes, conduct, or status demonstrate heightened risks to public safety. Absent extraordinary circumstances, violent felons, registered sex offenders, illegal aliens, and other individuals who present an ongoing danger will remain presumptively ineligible for relief. Any relief granted under the rule removes only applicable federal firearms disabilities and does not override independent restrictions imposed by state law.
The final rule, as submitted to the Office of the Federal Register, is available here. This rule will take effect thirty days after publication in the Federal Register. Individuals seeking restoration of their federal firearm rights may visit the Justice Department’s Federal Firearm Rights Restoration Program website at www.justice.gov/ffrr for eligibility information, application instructions, and access to the Department’s application process.
Ohio Man Pleads Guilty to Laundering Health Care Fraud Proceeds for Transnational Criminal OrganizationRead the Press Release
An Ohio man pleaded guilty yesterday to laundering approximately $3.4 million in illicit health care fraud proceeds through multiple regional banks on behalf of a transnational criminal organization (Organization).
According to court documents, Eldar Zarbavel, 45, of Pepper Pike, Ohio, was a money launderer for the foreign-based Organization that spearheaded the largest health care fraud case ever prosecuted by the Department of Justice, as uncovered by Operation Gold Rush. The Organization, based in Russia and elsewhere, orchestrated a multi-billion-dollar health care fraud and money laundering scheme to target, exploit, and steal from Medicare and private health insurance companies.
To date, 35 individuals have been charged as part of Operation Gold Rush. Zarbavel is the 16th individual to be convicted for his role in the scheme.
As alleged in charging documents, the Organization exploited the United States’ financial system by depositing insurance reimbursement checks from the fraud. The health care fraud proceeds were particularly susceptible to laundering because they originated from legitimate sources — Medicare and established private insurance carriers — giving the funds the initial appearance of legitimacy. To gain access to the United States’ financial system, the Organization deployed a range of tactics to circumvent internal controls at multiple banks and in some cases coordinated directly with associates employed at the banks.
As further alleged, to open financial accounts, the Organization armed its nominee owners with false sale documentation and false corporate registration documents. This documentation falsely reflected that the nominee owners maintained beneficial ownership and control of various fraudulent durable medical equipment (DME) companies. This disguised the true beneficial ownership and control of the companies and the financial accounts. Upon opening the financial accounts, the Organization funneled fraud proceeds from Medicare and other legitimate health care insurers into the accounts as seemingly “clean” money. From there, the Organization siphoned off the funds to shell companies and various banks overseas.
Zarbavel facilitated a critical element of the transnational scheme by opening bank accounts in Northeast Ohio for Royce Medical Supply LLC, a Florida-based DME company. Between July 2022 and July 2024, the Organization submitted $1.42 billion in false and fraudulent claims to Medicare and other health insurers through this DME company. While the Centers for Medicare and Medicaid Services suspended reimbursement on nearly all of these claims, some claims were paid. Between June and July of 2024, Zarbavel, at the direction of members of the Organization, facilitated the deposit, transfer, and withdrawal of approximately $3.4 million in fraud proceeds for the benefit of the Organization.
Zarbavel pleaded guilty to one count of money laundering. He is scheduled to be sentenced on Dec. 16. He faces a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Colin M. McDonald of the Justice Department’s National Fraud Enforcement Division; Miranda L. Bennett, Acting Deputy Inspector General for Investigations of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG); and Special Agent in Charge Jennifer Runyan of the FBI Detroit Field Office made the announcement.
HHS-OIG and FBI are investigating the case.
Assistant Chief Shankar Ramamurthy, Acting Assistant Chief Sara E. Porter, and Trial Attorneys Brant Cook and Leonid Sandlar of the Criminal Division’s Fraud Section are prosecuting the case.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
The Department of Justice’s Health Care Fraud Strike Force Program, currently comprised of nine strike forces operating in federal districts across the country, has charged more than 6,200 defendants who collectively billed federal health care programs and private insurers more than $45 billion since 2007. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit.
ENRD Statement After Return from APEC Forestry Ministerial in ChinaRead the Press Release
Note: View PDAAG Gustafson's remarks here. View a video on the event here.
Principal Deputy Assistant Attorney General Adam Gustafson of the Energy and Natural Resources Division (ENRD) issued the following statement following his service as the head of the United States’ delegation for a Ministerial Meeting on Forestry, part of a 2026 senior officials’ meeting of the Asia-Pacific Economic Cooperation (APEC) in China. In addition to ENRD, the U.S. delegation included the State Department, Fish and Wildlife Service, and the Office of the U.S. Trade Representative.
United States’ delegation to the 2026 APEC Ministerial Meeting on Forestry.“I was glad to serve as the head of the U.S. delegation to the APEC Ministerial on Forestry. The United States achieved some key successes at this meeting. We negotiated a joint ministerial statement that reflected the U.S. priorities in balance with the priorities of the other APEC members.
“I also highlighted the United States’ commitment to fighting illegal timber trafficking, the subject of President Trump’s Executive Order 14223. As evidence of our commitment, I described recent guilty pleas we secured from a yacht builder and paper products manufacturer who profited from illegal forest products. The illegal timber trade hurts American businesses by creating an uneven playing field. We are resetting of our global relationships to put America first. And we are working with our partners in APEC to break down barriers for business; support job growth; and boost fair, legal, and reciprocal trade, including in the wood products industry.
“ENRD stands ready to prosecute environmental crimes, and we co-chair an interagency group focused on improving timber trafficking investigations. Our Division is also part of a Trade Fraud Task Force to help us work across the government to prosecute smugglers and those who would try to evade tariffs and duties. We have recently reached historic agreements and brokered partnerships with nations and APEC members to support enforcement efforts.
“Thus, while we acknowledge the prevalence of illegal timber trafficking, the United States is leading an increasingly robust response to fight these crimes. My participation at APEC highlighted these encouraging developments and solicited continued engagement from our trading partners in the investigation and prosecution of timber trafficking.”
Amazon Agrees to $2.25 Million Settlement and Injunction to Resolve Alleged Violations of the Fair Credit Reporting ActRead the Press Release
The Justice Department announced today that a federal court has entered a stipulated order against Amazon.com Inc., in a case investigated and referred to the Department by the Federal Trade Commission (FTC). The order resolves allegations that Amazon violated the Fair Credit Reporting Act (FCRA), and it requires Amazon to pay a $2.25 million civil penalty and follow practices that protect consumers whose identities have been stolen.
In a complaint filed in the U.S. District Court for the District of Columbia, the government alleged that Amazon violated FCRA by failing to provide identity theft victims with requested records of transactions involving people believed to have fraudulently used those victims’ identification, and by failing to provide those records within 30 days of a request. The court’s stipulated order resolving the case imposes a $2.25 million civil penalty and requires Amazon to provide its records of transactions alleged to have been the result of identity theft to victims who request them, free of charge within 30 days of the request, subject to verification of the victim’s identity and claim of identity theft. Amazon must also post a notice to its website informing identity theft victims of how they can request those records.
“Consumers whose identities have been stolen should not face unnecessary red tape when they investigate how their identities were misused and seek to clear their names,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “The Justice Department will continue working with the Federal Trade Commission to protect identity theft victims.”
The United States is represented in this action by Assistant Directors Lory D. Alexander and Zachary A. Dietert from the Enforcement Section of the Civil Division’s Enforcement and Affirmative Litigation Branch, in coordination with staff from the FTC’s Bureau of Consumer Protection.
For more information about the Enforcement & Affirmative Litigation Branch and its enforcement efforts visit www.justice.gov/civil/enforcement-affirmative-litigation-branch.
Old Dutch Mustard to Implement Comprehensive Compliance Program to Stop Illegal Discharges into Souhegan River Streams in New HampshireRead the Press Release
Old Dutch Mustard, a mustard and vinegar manufacturing company, has entered into a consent decree, lodged today with the U.S. District Court for the District of New Hampshire, requiring it to implement a comprehensive water pollution compliance program to resolve allegations that it violated the Clean Water Act at its facility in Greenville, New Hampshire.
The United States’ complaint, filed on behalf of the Environmental Protection Agency (EPA) at the same time as the consent decree, alleged that Old Dutch Mustard violated the Clean Water Act on more than 1,700 days between November 2019 and February 2026 by discharging acidic pollutants into a tributary to the Souhegan River. The complaint also alleges that Old Dutch Mustard failed to comply with its stormwater discharge permit and failed to timely provide compliance information upon EPA’s request. Old Dutch Mustard has been the subject of repeated enforcement efforts over the last two decades, including most recently for separate criminal violations of the Clean Water Act, for which the company and its President were sentenced in April.
“Today’s consent decree will ensure that this company comes into compliance with the Clean Water Act, leveling the playing field for American businesses,” said Principal Deputy Assistant Attorney General Adam Gustafson of the Justice Department’s Energy and Natural Resources Division (ENRD). “We are committed to upholding the rule of law, including the Clean Water Act.”
“This action demonstrates that EPA will pursue repeat violators and hold them accountable through formal enforcement in court,” said Assistant Administrator Jeffrey A. Hall of EPA’s Office of Enforcement and Compliance Assurance. “This consent decree finally resolves decades of noncompliance with the Clean Water Act by ensuring that the company will comprehensively identify and address all sources of pollution into the tributary that runs through the facility. EPA will achieve compliance with the law.”
“Old Dutch Mustard spent years polluting the Souhegan River,” said U.S. Attorney Erin Creegan for the District of New Hampshire. “State and federal government agencies repeatedly attempted to secure the company’s cooperation in keeping the river clean, and those efforts were met with schemes and deception that resulted in both a criminal prosecution and the civil violations set forth in today’s action. Enough is enough. Today’s consent decree will mean close monitoring of the Old Dutch Mustard Company so that we can protect a treasured New Hampshire waterway, and the public, from further pollution.”
The Clean Water Act prohibits the discharge of any pollutant into navigable waters of the United States without a permit. According to the complaint, Old Dutch Mustard has a two-decade long history of unlawfully discharging its acidic wastewater and stormwater into a stream that flows underneath and in front of the company’s facility in Greenville, New Hampshire. As a result, the company has been subject to enforcement actions by the EPA, New Hampshire Department of Environmental Services (NH DES), and the New Hampshire Attorney General’s Office. The EPA and NH DES have required Old Dutch Mustard to continually monitor the stream at their facility, which flows into the Souhegan River. The Souhegan River is one of 19 New Hampshire rivers that the State of New Hampshire has designated as an important natural resource.
According to the complaint, the company’s monitoring results show that, on 1,728 days between November 2019 and February 2026, the stream had high levels of acidity, indicating unauthorized waste- and/or stormwater discharges from the facility. To resolve these violations and ensure that the facility does not continue to unlawfully discharge acidic material from its facility, the consent decree requires Old Dutch Mustard to improve its monitoring to provide for real-time data, thoroughly investigate any future discharges to determine their cause, and implement corrective measures to stop them.
The proposed consent decree was filed in U.S. District Court for the District of New Hampshire and is subject to a 30-day public comment period. The complaint and the proposed consent decree are available on the Justice Department’s website at www.justice.gov/enrd/consent-decrees.
EPA’s Region 1 investigated this case.
Special Assistant U.S. Attorney John Osborn for the District of New Hampshire handled this matter with assistance from Assistant Section Chief Eric Albert of ENRD’s Environmental Enforcement Section.
Justice Department and LA County Sheriff’s Department Settle LawsuitRead the Press Release
Today, the U.S. Department of Justice agreed to a settlement with the Los Angeles County Sheriff’s Department (LCSD) regarding its procedures for issuing firearm carry permits. LCSD has agreed to bring its procedures in line with the Supreme Court’s landmark Bruen decision. This is a huge win for the residents of Los Angeles County and for the Second Amendment.
The Second Amendment requires law enforcement to have objective standards for issuing carry permits and to issue those permits without imposing lengthy delays on applicants. When the Justice Department filed this lawsuit, applicants were waiting an average of over nine months to receive their permits. In response to the lawsuit, LCSD drastically cut those waiting times and is now in compliance with statutory deadlines.
“The Justice Department supports our law enforcement partners.” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division, “The sheriff acknowledged the problem and devoted substantial additional resources, including new processing software and additional personnel, to cutting waiting times dramatically. We applaud their efforts and are happy to be able to bring this litigation to a successful conclusion!”
The Second Amendment Section of the Civil Rights Division enforces the Second Amendment, the Police Pattern or Practice Act (34 U.S.C. § 12601), and Executive Order 14206. If you are a current or prospective gun owner and believe that a state or local government has infringed your right to keep or bear arms, please submit a complaint through https://www.justice.gov/crt/second-amendment-section.
RentGrow Inc. Agrees to $2.25M Civil Penalty and Injunction for Alleged Violations of Fair Credit Reporting Act and FTC ActRead the Press Release
The Justice Department announced today that a federal court has entered a stipulated order resolving a case against consumer reporting company, RentGrow Inc., in a case investigated and referred to the Department by the Federal Trade Commission (FTC). The order imposes a $2.25 million civil penalty judgment and injunction against RentGrow to resolve allegations that it violated the Fair Credit Reporting Act (FCRA) and the FTC Act in connection with background reports it furnishes to assist landlords and property managers in screening tenants for rental housing.
“Tenant screening reports can significantly affect the outcome of a housing application. Consumers deserve to know that the information contained in those reports is accurate, that the reporting is transparent, and that they have a meaningful opportunity to address information that may affect them,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “The Justice Department is committed to ensuring that companies that collect and provide consumer information follow the law and maintain practices that support fair and informed housing decisions.”
In a complaint filed in the U.S. District Court for the District of Columbia, the government alleged that RentGrow failed to maintain reasonable procedures to ensure maximum possible accuracy of the information in its tenant screening reports, failed to disclose to consumers upon request the information contained in those consumers’ reports and the sources of that information, and failed to comply with required procedures when a consumer disputed the accuracy of a report, in violation of FCRA. The government further alleged that RentGrow violated the FTC Act’s prohibition on deceptive business practices by misrepresenting to tenant applicants that upon successful dispute of their report, corrections to or removals of inaccurate information were reported to landlords and property managers.
The stipulated order resolving those allegations requires RentGrow to pay a $2.25 million civil penalty and imposes an injunction against it prohibiting the alleged misconduct and requiring related compliance reporting, monitoring, and recordkeeping.
The United States is represented in this action by Assistant Director Zachary A. Dietert and Trial Attorney Jordan A. Ryan from the Enforcement Section of the Civil Division’s Enforcement and Affirmative Litigation Branch. Whitney Moore, Jamie Hine, and Kamay Lafalaise represent the FTC.
For more information about the Enforcement & Affirmative Litigation Branch and its enforcement efforts visit www.justice.gov/civil/enforcement-affirmative-litigation-branch.
Former Brooklyn Bank Manager Sentenced to Prison for Laundering Proceeds of Medicare Fraud for Transnational Criminal OrganizationRead the Press Release
A Brooklyn man was sentenced yesterday to 18 months in prison for conspiring to launder more than $8 million in health care fraud proceeds through a U.S. bank on behalf of a transnational criminal organization (TCO).
“The Fraud Division is committed to holding accountable anyone who abuses the U.S. financial system to facilitate fraud,” said Assistant Attorney General Colin M. McDonald of the Justice Department’s National Fraud Enforcement Division. “This sentence makes one thing clear: anyone who helps fraudsters conceal the proceeds of their crimes can expect to face serious consequences. American taxpayers will be protected from those who try to launder criminal proceeds through our banking system.”
According to court documents, Renat Abramov, 37, of Brooklyn, New York, a former relationship manager at a U.S. bank branch in the Sheepshead Bay section of Brooklyn, used his position to aid a foreign-based TCO that spearheaded the largest health care fraud case ever prosecuted by the Department of Justice, as uncovered by Operation Gold Rush.
The TCO, based in Russia and elsewhere, orchestrated a multi-billion-dollar health care fraud and money laundering scheme to steal from Medicare and private health insurance companies by submitting fraudulent claims for durable medical equipment through dozens of medical equipment companies. These medical equipment companies were owned on paper by nominee owners, many of whom were not lawfully present in the United States, in a manner that disguised the true beneficial ownership and control of the companies by the foreign-based TCO.
Abramov acted as a concierge banker for participants in the health care fraud and money laundering scheme. Among other things, Abramov opened bank accounts for the nominee owners of several medical equipment companies, which were then used to deposit more than $8 million in health care fraud proceeds. Once deposited, the nominee owners and their handlers transferred the money into offshore accounts. Abramov also assisted nominee owners with wire transactions and provided information about the status of accounts.
In February 2026, Abramov pleaded guilty to conspiracy to commit money laundering.
HHS-OIG and FBI investigated the case. Homeland Security Investigations New York assisted in the defendant’s arrest.
Assistant Chiefs Shankar Ramamurthy and Kevin Lowell, Acting Assistant Chief Sara E. Porter, and Trial Attorney Leonid Sandlar of the Criminal Division’s Fraud Section prosecuted the case.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
The Department of Justice’s Health Care Fraud Strike Force Program, currently comprised of nine strike forces operating in federal districts across the country, has charged more than 6,200 defendants who collectively billed federal health care programs and private insurers more than $45 billion since 2007. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit.
DOJ Invests Nearly $30 Million in the USAO Eastern District of North Carolina to Support Law Enforcement and Strengthen Community SafetyRead the Press Release
RALEIGH, N.C. – The United States Attorney’s Office for the Eastern District of North Carolina is proud to announce that the Department of Justice (DOJ) distributed nearly $30 million in grant funding across the district to strengthen public safety efforts. Our partners will use these funds to support state and local law enforcement agencies and community organizations that put in the hard work and long hours every day to reduce violence, prevent crime, and build safer neighborhoods.
“Our district remains committed to giving our local law enforcement partners the tools they need to protect Eastern North Carolina communities, get criminals off the streets, and reduce violence,” said U.S. Attorney Ellis Boyle. “These grants directly support the folks who are out there facing danger, boots on the ground, doing the work each and every day. They give us a chance to team with these critical local agencies and community‑based groups who keep our neighborhoods safe from criminals”
This new funding strengthens the district’s ongoing partnerships and expands the resources available to the agencies and organizations. Building on this commitment, DOJ will send grant funding to the following:
- NC Conf. of DAs: $11,640,892
- Pitt County: $55,520
- Cumberland County: $225,590
- Robeson County: $125,443
- Harnett County: $22,230
- Sampson County: $10,781
- Johnston County: $11,561
- Vance County: $21,868
- Lenoir County: $14,570
- Wake County: $221,272
- Nash County: $40,867
- Wayne County: $50,144
- New Hanover County: $64,657
- Wilson County: $22,147
- Onslow County: $34,572
- NCDPS: $17,366,761
Local law enforcement agencies and community‑based organizations invest this funding by implementing crime‑reduction efforts, upgrading technology and training, supporting victims, and building programs that strengthen trust between law enforcement and the neighborhoods they serve.
The Eastern District of North Carolina covers 44 counties and includes big and small cities, rural communities, beaches and waterways, and major military installations. The United States Attorney’s Office serves as the coordinating hub of federal, state, and local law enforcement, enforces federal law, prosecutes criminal offenses, defends the United States in civil matters, and advances community‑focused crime‑prevention efforts. The office works closely with federal, state, and local agencies across the district to promote public safety, protect the Constitution, uphold the rule of law, and support programs that address the causes of crime and strengthen long‑term community well‑being.
A copy of this press release may be found on our website.
The Department of Justice Files Complaints Against New York, Connecticut, and Vermont Challenging State Laws that Provide In-State Tuition to Illegal AliensRead the Press Release
Today, the Department of Justice filed lawsuits against three states that seek to undermine our Nation by placing aliens over citizens in clear defiance of Congress’s commands. The Department filed complaints against New York, Connecticut, and Vermont, challenging state laws that provide in-state tuition and financial assistance for illegal aliens. These laws unconstitutionally discriminate against U.S. citizens who are not afforded the same reduced tuition rates or scholarships, create incentives for illegal immigration, and reward illegal aliens with benefits that U.S. citizens are not eligible for, all in direct conflict with federal law.
“Congress long ago made clear that States cannot put illegal aliens over our Nation’s own citizens,” said Associate Attorney General Stanley Woodward. “By granting illegal aliens in-state tuition, New York, Vermont, and Connecticut are doing just that. No more. As of today, we have now sued every state in the Second Circuit that seeks to thwart Congress’s clear prohibition by placing alien over citizen. And our efforts will not cease until President Trump’s promise is fulfilled: illegal aliens will not receive benefits denied to our Nation’s own citizens.”
“This is a simple matter of federal law: colleges cannot provide benefits to illegal aliens that they do not provide to U.S. citizens,” said Assistant Attorney General Brett A. Shumate of the Justice Department’s Civil Division. “This Department of Justice will not tolerate American students being treated like second-class citizens in their own country.”
In the complaints, the United States seeks to enjoin enforcement of New York, Connecticut, and Vermont laws, regulations, and policies that require colleges and universities to provide in-state tuition rates for all aliens who maintain in-state residency, regardless of whether those aliens are lawfully present in the United States. Additionally, the complaints seek to enjoin New York, Connecticut, and Vermont from enforcing state laws, regulations, and policies that afford financial assistance and scholarships to illegal aliens.
Today’s lawsuits mark 17 lawsuits challenging in-state tuition for illegal aliens. Under the leadership of Attorney General Todd Blanche, the Department’s efforts have already delivered wins for the American people, as five similar lawsuits in Texas, Kentucky, Oklahoma, and Nebraska, and Illinois have resulted favorable orders permanently enjoining and declaring unconstitutional analogous laws that gave reduced tuition to illegal aliens, including an order from the Fifth Circuit. Lawsuits against other states that similarly put illegal aliens ahead of U.S. citizens are pending across the across the country in Minnesota, Virginia, California, New Jersey, Kansas, Massachusetts, Rhode Island, Maryland, and Colorado.
Rayne Man Sentenced to Five Years in Federal Prison for Cocaine TraffickingRead the Press Release
LAFAYETTE – On July 20, 2026, United States District Judge Robert R. Summerhays sentenced Wayne Christopher Kelley, 43, of Rayne, to 60 months in federal prison for Possession with Intent to Distribute Cocaine. He will serve four years of supervised release after his sentence is served. Kelley previously pled guilty to the charges.
According to court documents, investigators with the Acadia Parish Sheriff’s Office (APSO) began investigating Kelley in early 2025 for suspected crack cocaine trafficking in and around Rayne, Louisiana. On June 26, 2025, detectives obtained search warrants for two residences associated with Kelley. On July 1, 2025, investigators recovered one kilogram of cocaine at the first residence. At the second, detectives found a book sack containing measuring cups, spoons, whisks, a calibrated scale with white residue, a razor blade, approximately 3.21 grams of cocaine, and a vacuum-sealed bag containing approximately 159 grams of cocaine.
Kelley admitted that the narcotics belonged to him. The total amount of cocaine attributable to Kelley exceeded 500 grams and was consistent with distribution quantities.
DEA DEAU.S. Attorney Zachary A. Keller for the Western District of Louisiana made the announcement.
APSO, Federal Bureau of Investigation (FBI), the Drug Enforcement Administration (DEA), and Homeland Security Investigations (HSI) investigated this case. It was prosecuted by Assistant U.S. Attorney LaDonte Murphy with assistance from Legal Assistant Christy Angelle.
This case was prosecuted as part of Operation Take Back America (TBA), a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s agencies, and coordinates efforts with state and local law enforcement and Project Safe Neighborhoods (PSN). These efforts complement and strengthen President Trump’s Homeland Security Task Forces (HSTF), ensuring a comprehensive federal response to the most pressing public safety issues facing communities. Learn more about PSN at https://www.justice.gov/psn
You may find a copy of this press release (and any updates) on the website of the United States Attorney’s Office for the Western District of Louisiana at www.justice.gov/usao-wdla.
Related court documents and information may be found on the website of the District Court for the Western District of Louisiana at www.lawd.uscourts.gov or at https://www.lawd.uscourts.gov/cmecf-pacer, under Case Number 6:25-CR-00325.
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Public Affairs
United States Attorney’s Office
Western District of Louisiana
[email protected]
www.justice.gov/usao-wdla
Twitter @USAO_WDLAJustice Department Awards Nearly $290 Million to Improve SafetyRead the Press Release
The Bureau of Justice Assistance, a component under the Department of Justice’s Office of Justice Programs, awarded almost $290 million to support state, local, and tribal governments in criminal justice activities to keep American communities safe.
The awards, provided through the Edward Byrne Memorial Justice Assistance Grant (JAG) Program, represent the nation’s leading source of federal justice funding to state and local jurisdictions, the District of Columbia, and all U.S. territories. For more than 20 years, the JAG program has provided critical funding to support law enforcement’s ability to protect the communities they serve, supporting critical needs such as personnel, equipment and supplies, technology, training, information systems for criminal justice or civil proceedings, and other operational priorities. JAG funding also supports a wide range of programs that strengthen crime prevention efforts and enhance the effectiveness of prosecutors, courts, corrections agencies, and services for crime victims and witnesses.
“This funding strengthens our state, local, and tribal partners’ ability to address violent crime, support officers on the front lines, and keep our Nation’s communities safe,” said Associate Attorney General Stanley E. Woodward Jr. “The JAG Program continues to provide essential resources that help jurisdictions meet today’s public safety threats and uphold the rule of law.”
In addition to foundational uses of JAG funds, specific areas of emphasis were included to the JAG funding opportunities highlighting and encouraging state and local jurisdictions to join federal law enforcement in addressing the most pressing public safety challenges. For Fiscal Year 2025, these areas of emphasis included combatting violent crime, immigration enforcement, safe communities, and safe houses of worship.
BJA awarded more than $199 million in state JAG funding across 56 awards and more than $90 million in local JAG funding across 895 awards.
Examples of initiatives supported by these grants include:
- Providing specialized training to strengthen the prevention, detection, and response to human trafficking and to enhance proactive crime‑reduction efforts through improved officer readiness and increased patrol capacity.
- Enhancing local crime‑fighting efforts by integrating innovative technology, training, and equipment, and using comprehensive crime‑data analysis to guide decision‑making, measure performance, and strengthen strategies addressing violent crime and other public safety issues.
- Strengthening enforcement efforts by supporting investigations related to gang activity and narcotics through targeted operations carried out by specialized units.
- Improving officer safety and readiness by replacing outdated ballistic helmets with modern protective equipment used during high‑risk incidents, tactical operations, active threat responses, warrant service, civil disturbances, and other dangerous calls for service.
All recipients for both state and local JAG awards can be found here.
About the Office of Justice Programs
The Office of Justice Programs provides federal leadership, grants, training, technical assistance, and other resources to improve the nation's capacity to prevent and reduce crime; promote fair and impartial administration of justice; assist victims; and uphold the rule of law. More information about OJP and its program offices – the Bureau of Justice Assistance, Bureau of Justice Statistics, National Institute of Justice, Office of Juvenile Justice and Delinquency Prevention, Office for Victims of Crime, and Office of Sex Offender Sentencing, Monitoring, Apprehending, Registering and Tracking or SMART Office – can be found at ojp.gov.
Judd Wire Inc. Agrees to Pay $1.014 Million to Settle False Claims Act Allegations for Failing to Test Wire and Cable Used by the United StatesRead the Press Release
Judd Wire Inc., of Turners Falls, Massachusetts, has agreed to pay $1,014,000 to resolve allegations that it violated the False Claims Act by failing to perform tests required by specifications for certain wire and cable products used by the U.S. Navy. In connection with the settlement, the United States acknowledged that Judd Wire took significant steps entitling it to credit for cooperating with the government.
“It is essential to the safety and operational capabilities of the military that suppliers comply with applicable product specifications,” said Assistant Attorney General Brett A. Shumate of the Justice Department's Civil Division. “When suppliers fail to comply with required specifications, they can mitigate the consequences by making timely self-disclosures, cooperating with investigations, and taking prompt remedial measures.”
“The performance of safety tests of military equipment is a critically important part of taking care of our Sailors and Marines and the gear their lives and missions depend on,” said General Counsel of the Department of the Navy David W. Denton Jr. “When contractors fail to do so they need to be held accountable. The Navy Acquisition Integrity Office will continue to expand our partnership with the Task Force to Eliminate Fraud on procurement fraud matters and take administrative action when appropriate.”
The settlement resolves allegations that from September 2011 to August 2021, Judd Wire produced wire and cable products that were used by the United States, but failed to perform all tests required by each of the 29 wire and cable specifications covered by the settlement. Judd Wire voluntarily disclosed the testing lapses to the United States, cooperated with the U.S. investigation, and implemented remedial measures.
This year, the Administration launched the Task Force to Eliminate Fraud and the National Fraud Enforcement Division to enhance the Administration’s war on fraud, waste, and abuse in federal programs. When unscrupulous actors exploit these programs for their own financial gain, they defraud the government, harm the people these programs are designed to aid and protect, and undermine American businesses that play by the rules. The Civil Division’s FCA enforcement plays a critical role in combating such fraudulent schemes, recovering billions of dollars for the American taxpayers, and holding wrongdoers accountable. FCA matters will continue to be on the forefront of the battle against fraud, and the Civil Division’s FCA work will support and advance the mission of the Task Force to Eliminate Fraud and the National Fraud Enforcement Division.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the U.S. Navy’s Office of General Counsel, Acquisition Integrity Office. The matter was handled by Trial Attorney Greg Pearson of the Civil Division’s Commercial Litigation Branch.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Chinese National Pleads Guilty to Trying to Obtain U.S. Military EquipmentRead the Press Release
Earlier today, Dingwei Chen, a 29-year-old citizen of the People’s Republic of China, pleaded guilty in federal court in Salt Lake City to violating the Arms Export Control Act. U.S. District Judge David Sam accepted Chen’s guilty plea and scheduled sentencing for Oct 19. Chen faces a maximum penalty of 20 years in prison.
Chen attempted to purchase military-grade satellite modems and radios manufactured for the U.S. military by American companies. The specific communications hardware Chen attempted to buy may not be legally exported from the United States without a license from the Department of State’s Directorate of Defense Trade Controls, which generally does not issue licenses to export military goods and services to China.
“Chen tried to divert sensitive U.S. military technologies to the People’s Republic of China, technologies the PRC could have used against us in the future,” said Assistant Attorney General for National Security John A. Eisenberg. “These advanced technologies are a product of United States ingenuity and investment, and the National Security Division will act together with our partners across the government to enforce our laws to protect the military advantage bestowed by such technologies.”
“Today’s guilty plea underscores the serious consequences for those who attempt to illegally procure, export, or transfer sensitive U.S.-origin military equipment or technology in violation of our nation’s export control laws,” said Acting Special Agent in Charge Spiros Karabinas of U.S. Immigration and Customs Enforcement Homeland Security Investigations (HSI) New Jersey. “Protecting American innovation and preventing critical technologies from reaching foreign adversaries, terrorist organizations, and transnational criminal organizations is a core national security mission. This investigation reflects the exceptional collaboration between HSI offices across the United States and its territories and the Defense Criminal Investigative Service to disrupt an illicit procurement network and hold accountable those who threaten the security of the United States.”
“Advanced communication systems – such as those increasingly sought after by adversaries for their sophisticated capabilities – are essential to protecting our warfighters and ensuring they can operate safely and decisively across modern battlespaces,” said Director James R. Ives of the Defense Criminal Investigative Service (DCIS). “Safeguarding this technology is critical to the men and women who rely on these systems when protecting our nation. As the criminal investigative arm of the Department of Defense’s Office of Inspector General, DCIS will aggressively pursue those who attempt to obtain and illegally export sensitive technology that could pose future risks to our troops and ensure they face justice.”
According to court records, Chen worked with others in China to try and acquire these sensitive communications systems from foreign arms dealers on the black market. They discussed various methods to export them to China. Initially, Chen and his co-conspirators sought to transship the goods through Switzerland; then they spoke about picking them up in Saipan; finally, they decided to smuggle through Mexico.
After making an initial down payment of over $40,000 U.S. dollars, Chen and his co-conspirators switched to cryptocurrency, noting that “cold wallets are essentially anonymous bank accounts. Each transaction processed through them is private and untraceable.” They went on to pay roughly $30,000 worth of USDT, which is a type of cryptocurrency. These down payments related to the purchase of 10 modems.
To avoid detection, Chen and his co-conspirators communicated using an encrypted app. Using the encrypted app, Chen claimed this was merely an initial deal, and he had funding to buy tens of millions of dollars’ worth of additional military equipment.
Assistant Attorney General Eisenberg thanked the hardworking HSI and DCIS agents who investigated this case.
The case is being prosecuted by Trial Attorney Christopher Magnani of the National Security Division’s Counterintelligence and Export Control Section.
Justice Department Partners with Tennessee Attorney General to Preserve Competition for Asphalt in Western TennesseeRead the Press Release
The Justice Department’s Antitrust Division, joined by the Attorney General of Tennessee, announced today that they will require CRH and its subsidiary APAC-Tennessee to divest two hot-mix asphalt plants as part of its acquisition of Standard Construction to address antitrust concerns in western Tennessee.
“Today’s settlement is a model for how government works better when federal law enforcers collaborate with states in protecting local interests from competitive harm,” said Associate Attorney General Stanley E. Woodward Jr. “I thank Tennessee Attorney General Jonathan Skrmetti for his partnership to protect critical roadway infrastructure in western Tennessee and preserve the state and federal funds that pay for it.”
“State antitrust enforcers can play an important role in merger enforcement in local markets in which potential harm is limited to a single state,” said Deputy Assistant Attorney General G. Charles Beller of the Justice Department's Antitrust Division. “I am proud of our partnership with the Tennessee Attorney General and our collective efforts to preserve competition in local asphalt markets. This enforcement action builds on recent consent settlements we have taken alongside other state attorneys general to obtain local concrete plant divestitures in California and power plant divestitures in Texas.”
The divestiture is part of a proposed settlement that was filed at the same time as a civil antitrust lawsuit in the U.S. District Court for the Western District of Tennessee to block APAC’s proposed acquisition of hot-mix asphalt plants from Standard Construction. The proposed settlement, if approved by the court, will resolve concerns that the transaction, as originally proposed, would likely harm competition, leading to higher prices, lower quality, and less favorable terms for hot-mix asphalt used by the Tennessee Department of Transportation.
The Antitrust Division is actively collaborating with state antitrust enforcers in reviewing mergers in which potential competitive harm is local. State enforcers often bring significant local expertise, and their participation and leadership in local matters helps preserve federal resources for matters of regional and national significance.
As alleged in the complaint, APAC and Standard Construction are two of the three leading suppliers of hot-mix asphalt in western Tennessee. The acquisition, as originally proposed, would have left the Tennessee Department of Transportation and other customers with fewer choices and higher prices. The proposed settlement requires APAC and Standard to divest two hot-mix asphalt plants in western Tennessee to Dunn Construction of Birmingham, Alabama.
CRH plc, headquartered in Ireland, is a global supplier of building materials. In 2025, CRH had global sales of approximately $37.4 billion, with sales in the United States of approximately $10 billion through subsidiaries, including APAC-Tennessee, Inc. Standard Construction Group, Inc. is a privately held corporation headquartered in Cordova, Tennessee.
As required by the Tunney Act, the proposed settlement, along with a competitive impact statement, will be published in the Federal Register. Any person may submit written comments concerning the proposed settlement within 60 days following the publication to Soyoung Choe, Acting Chief, Defense, Industrials, and Aerospace Section, Antitrust Division, U.S. Department of Justice, 450 Fifth Street NW, Suite 8700, Washington, DC 20530. At the conclusion of the public comment period, the U.S. District Court for the Western District of Tennessee may enter the final judgment upon finding it is in the public interest.
Note: See the Complaint here, the Proposed Final Judgment here, the Competitive Impact Statement here, and the Stipulation and Order here.
This release has been updated from a previous version
Justice Department Finds Duke Law School Discriminates Based on Race in AdmissionsRead the Press Release
The Justice Department’s Civil Rights Division announced today investigative findings that Duke University School of Law (Duke Law) intentionally discriminated based on race in granting and denying admission to its 2023, 2024, and 2025 incoming classes. Duke Law’s discriminatory conduct violated Title VI of the Civil Rights Act of 1964, which prohibits discrimination on the basis of race, color, or national origin, and the U.S. Supreme Court’s 2023 decision in Students for Fair Admissions v. Harvard (SFFA), which banned race discrimination in higher education.
“Duke Law School doesn’t get a free pass to discriminate against white and Asian students simply because it thinks it has good intentions,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. “Using ‘diversity’ essay questions to identify preferred races for admission is still illegal discrimination based on race, and this Department is committed to eliminating it everywhere we find it, including in our nation’s law schools.”
The Department’s investigation found that post-SFFA, Duke Law emphasized racial diversity in admissions and engaged in a deliberate effort to preserve race-based outcomes for its incoming classes. Duke Law revised its Mission Statement to express its goal to “help build and sustain a dynamic legal profession that embodies a commitment” to a number of stated values, such as equal justice, public service, and a “diversity of perspective and experience.” Duke Law’s application included short answer essay questions, which allowed candidates to discuss how they would further Duke Law’s mission. Admissions reviewers were then instructed to “tag” responses to these short answer questions. To capture answers related to “diversity of perspective and experience” reviewers used the “Diversity/Services” tag. Reviewers were also instructed to use tags to capture specific applicant characteristics that are commonly correlated with race, such as being a Pell grant recipient. Thus, while Duke Law’s published policies assert that admissions reviewers did not see racial demographic data, Duke Law directed its admissions staff to highlight applicant information that could be used to advance Duke Law’s racial diversity goals.
As a result, a black or Hispanic applicant has a substantially higher likelihood of admission to Duke Law than a white or Asian applicant with the same academic credentials. When qualifications are not similar, the result is starker: in 2024 and 2025, the median LSAT scores of rejected white and Asian applicants exceeded the median LSAT scores of admitted black applicants.
As recipients of federal financial assistance, law schools are subject to federal non-discrimination laws. The Department will continue to monitor and ensure their compliance with Title VI and SFFA’s prohibition on race-conscious admissions. Where a violation has been found, the Department will engage in settlement negotiations to ensure the school’s admissions practices are brought into compliance. If those efforts fail, the Department will file suit.
Note: Read the Department’s Findings Letter here.
Consumer Bankruptcy Firm Waives $90K in Fees After USTP Inquiry Reveals Lapses in DiligenceRead the Press Release
A consumer law firm agreed to waive more than $90,000 in fees after an investigation by the Department of Justice’s U.S. Trustee Program (USTP) revealed that the firm filed a series of bankruptcy cases with false financial information.
On July 22, the Bankruptcy Court for the Northern District of Illinois entered an order memorializing the agreement between the USTP and the Semrad Law Firm, also known as DebtStoppers. The agreement follows an investigation by the USTP’s Chicago office that found Semrad failed to exercise due diligence before filing 31 cases on behalf of consumer debtors whose sworn bankruptcy documents contained financial information that was materially inconsistent with the debtors’ federal tax returns.
Bankruptcy law requires debtors’ attorneys to exercise independent diligence and care in ensuring that the information in their clients’ bankruptcy documents have evidentiary support. But Semrad failed to review the debtors’ tax returns or tax transcripts before filing these cases. If it had, the firm would have discovered that the debtors had claimed significantly higher earnings and higher withholdings to generate sizeable refunds from their tax returns.
“Semrad cannot justify its fees for its lax approach to preparing these 31 cases,” said Acting U.S. Trustee Adam Brief of Region 11, which includes the Northern District of Illinois. “The firm failed its clients and the courts by allowing the spread of false information. The USTP will continue to aggressively pursue consumer debtors’ attorneys who fail to fulfill their basic obligations.”
Under the agreement, Semrad must return more than $26,000 to the debtors and notify them that nothing more is due under their fee agreements, for a total value of more than $90,000. Additionally, two of the firm’s attorneys must complete at least three hours of continuing legal education on professional responsibility in bankruptcy.
The USTP’s mission is to promote the integrity and efficiency of the bankruptcy system for the benefit of all stakeholders — debtors, creditors and the public. The USTP consists of 21 regions with 82 field offices nationwide and an Executive Office in Washington, D.C. Learn more about the USTP at www.justice.gov/ust.